In order to understand the case the history is just as important as the present facts; In 1808, New York allowed Robert Livingston and Robert Fulton full privileges to all waters where steamboats move inside the states. The New Orleans territory was the only to accept the petition that was made by other states and for that, they were awarded with a monopoly on the lower end of the Mississippi River. People began to notice an increasing population of steamboat navigation and many started to challenge Livingston and Fulton. In response to the upcoming arguments and arguments, the monopoly made sincere attempts to sell their the items for better prices in hopes of solving the issues. At first, Aaron Ogden tried going against the monopoly, but in the end he brought a license from Livingston & Fulton assignees in 1815. Ogden then began operating a steamboat of his own between Elizabeth town, New Jersey and New York City, New York. Ogden license was approved by the United States Congress and obeyed the regulated coasting trade law. This moment sparked …show more content…
Thomas Gibbons was a different steamboat operator who did New York and New Jersey as well. The issues was born when Ogden decided that he wanted to have the route to himself, so he took Gibbons to New York State court. Ogden sued Gibbons by claiming that his license violated his own exclusive right to operate the waterways. Gibbons defended himself by saying that he deserved the route because the Act of Congress 1793, coastal commerce. He claimed that the steamboat went between New York and New Jersey therefore it results in an interstate commerce, in that case it gives right to issue a license from the Federal Government. The New York courts still sided with Ogden and ordered Gibbons to halt all his boats. Gibbons knew that his argument was valid and he refused to accept the ruling and took Ogden to Supreme Court in