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  • Auto Moving Company >> Auto Car Moving News >> Auto Moving News: Federal preemption and court decisions

    Monday, October 6, 2008

    Federal preemption and court decisions

    Since 1980, most trucking has been deregulated. In 1994 the Federal Aviation Administration Authorization Act was passed and contained language to effectively eliminate state authority to regulate intrastate commerce. Economic regulation of intrastate commerce formerly included regulation of entry, price and routes. This federal legislation basically preempted states rights to prescribe routes. The application of this law was challenged in a couple of instances and one case went to the Supreme Court in 2002. The case was City of Columbus,Petitioners v.Ours Garage and Wrecker Service.

    The Supreme court decision says : "We hold that $14501(c) does not bar a State from delegating to municipalities and other local units the State's authority to establish safety regulations governing motor carriers of property, including tow trucks. A locality, as $14501(c) recognizes, is a "political subdivision" of the State. Ordinarily, a political subdivision may exercise whatever portion of state power the State, under its own constitution and laws, chooses to delegate to the subdivision. Absent a clear statement to the contrary, Congress' reference to the "regulatory authority of a State" should be read to preserve, not preempt, the traditional prerogative of the States to delegate their authority to their constituent parts."

    The Supreme Court decision goes on to say "Local jurisdictions can establish a truck route with specific delegation of authority from the state to do so; however, local regulation that is not genuinely responsive to safety concerns garners no exemption

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