Case Study: Mcculloch V. Maryland 1819

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Case Study: McCulloch v. Maryland (1819)
Donald Clayton Budge
Course: Government 2305/977
Professor: Mr. Moses Omane-Boateng
Semester: Spring 2016
Date: March 18th 2016

INTRODUCTION The case of McCulloch v. Maryland (1819). Involved Congress developing the Second Bank of the United States of America. The Second Bank was to serve the common purpose of any bank, issuing and receiving money from citizens. But when the bank opened a branch in Baltimore, Maryland, legislators in Maryland became uncomfortable with this development because the federal government had not asked for permission to open the bank, and it was competing with other banks established by the state. Consequently, the state legislature of Maryland passed a law taxing all banks in Maryland that were not chartered by the state. Since the Second Bank of the United States of America was the only bank with that situation, everyone recognized that this was essentially a direct tax on the Second Bank.

The director of the Second Bank's Baltimore Branch, James William McCulloch, refused to pay the tax. As a result, the state of Maryland sued, taking the case to the Maryland Court. The Maryland judges upheld the Maryland law, saying that the Constitution of the United States did not grant the federal government the power to establish the bank in …show more content…

(Bill of Rights Institute: Landmark Supreme Court Cases – McCulloch v. Maryland (1819)) Compact theory also argues that the federal government is made up of the states where the states maintain superiority. Unlike Marshall, his successor, Roger B. Taney, established Dual federalism, where separate but equal branches of government were believed to be a better option. (McCulloch v. Maryland. (2016, March

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