Gibbons: Challenged a New York state granted monopoly to Aaron Ogden by running two steamboats between New York and New Jersey.
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Ogden: Licensed to operate steamboats exclusively between New York and New Jersey.
The Case:.
In the beginning of the 19th century, when the steamboat had just been invented, came a great legal battle. Robert Fulton, one inventor of the steamboat obtained exclusive rights from the state of New York to navigate his boats between Elizabethtown, New Jersey and New York City. Robert Fulton, granted one license to Aaron Ogden to which ambitious investors were jealous and challenged. Thomas Gibbons, held a federal coasting license, and ran competing vessels between New Jersey and New York, and challenged Aaron Ogden. At issue was a clause of Article 1, Section 8 of the constitution, which said Congress has the power to regulate commerce with other nations and between the states. When Gibbons took Ogden to court, the state of New York always ruled in favor of Aaron Ogden, barring any competition. The case was then taken to the Supreme Court. .
Daniel Webster argued for Gibbons concerning state and national powers over interstate commerce, on four issues:.
1. Exclusive national power 2. Fully concurrent state and national powers 3. Partially concurrent state power not reaching "higher branches" of commerce 4. Supremacy of a national statute over a contrary state statute.
Thomas Emmet, Ogden's lawyer, insisted that many interstate matters have fully concurrent power over commerce between the states. Chief Justice John Marshall said the New York monopoly was unconstitutional, and interfered with the power of Congress. The Supreme Court's decision in the Gibbons v. Ogden case was very influential in the federal structure of the United States.