United States v. Doremus

Background

Doremus was a registered physician who had paid the special tax required by the Harrison Narcotic Drug Act and was indicted for selling a large quantity of heroin to a man named Ameris without the written order the law required. One count alleged a sale without the required federal order form; another alleged the sale was not in the course of professional practice and was to an addict. The District Court sustained a demurrer and held section two of the Act unconstitutional, reasoning it was not a revenue measure and unlawfully invaded states' police power. The case reached this Court on criminal appeal.

Reasoning

The central question was whether the section's rules about orders, registration, and recordkeeping had any relation to Congress's power to raise revenue by excise taxes. The Court held they did. It explained Congress has wide authority to choose subjects for excise taxes and that a measure need only reasonably relate to raising revenue to be valid. The Court said the recordkeeping and order requirements help keep the narcotics trade "aboveboard," make inspection and tax collection possible, and may prevent clandestine sales that would avoid the tax. Because those provisions bore a reasonable relation to revenue collection, the Court reversed the lower court and upheld section two as within Congress's taxing power.

Real world impact

The ruling means federal requirements for registration, written orders, and two-year records for narcotic sales are enforceable. Physicians and dealers must follow the record and prescription rules or face federal penalties. It allows Congress to regulate parts of the drug trade through its taxing power even where states also have police powers.

Dissents or concurrances

The Chief Justice dissented, joined by three Justices, arguing the law improperly intrudes on state police power and that the lower court was correct.