Stockard v. Morgan

This is a writ of error to the supreme court of the state of Tennessee, brought to review a judgment of that court reversing a judgment of the court of chancery of Hamilton county in favor of complainants, and dismissing their bill.

The complainants sought to enjoin the collection of a tax imposed upon them under a statute of Tennessee, upon the ground that they were not liable for the tax because they were agents and brokers exclusively for the sale of the property of nonresident principals, and did no business of any kind for residents of the state. They also averred that the state statute, properly construed, did not include their business, but if it did, it was void as contravening the Federal Constitution in its interstate commerce clause.

The defendants by answer averred that they sought to collect the tax under the authority of the statute of the state of Tennessee, providing for the collection of a privilege tax on the occupation of the complainants as merchandise brokers, and that such statute was valid.

Other parties similarly situated commenced suits against the defendants to obtain like relief. By an agreement, which was approved by the court, all the cases were consolidated under the style of Stockard & Jones v. Morgan and others, under which title it was agreed that they should thereafter proceed as one case.

The case came to trial in the chancery court upon the following agreed statement of facts:

'In this consolidated cause the following agreement is made as to the facts relating to the matters in controversy, viz.:

'It is agreed that the several complainants in the original bills, to wit, J. H. McReynolds, Stockard & Jones, W. G. Oehmig, T. M. Carothers, and J. H. Allison are residents of Hamilton county, Tennessee.