rief noteGibbons v. Ogden
22 U.S. 1, 9 Wheat. 1, 6 L. Ed. 23 (1824)

Facts: New York granted Robert R. Livingston and Robert Fulton the exclusive right of steam boat navigation on New York state waters. Livingston assigned to Ogden the right to navigate the waters between New York City and certain ports in New Jersey. Ogden (P) brought this lawsuit seeking an injunction to restrain Gibbons (D) from operating steam ships on New York waters in violation of his exclusive privilege. Ogden was granted the injunction and Gibbons appealed, asserting that his steamships were licensed under the Act of Congress entitled “An act for enrolling and licensing ships and vessels to be employed in the coasting trade and fisheries, and for regulating the same.” Gibbons asserted that the Act of Congress superseded the exclusive privilege granted by the state of New York. The Chancellor affirmed the injunction, holding that the New York law granting the exclusive privilege was not repugnant to the Constitution and laws of the United States, and that the grants were valid. Gibbons appealed and the decision was affirmed by the Court for the Trial of Impeachments and Correction of Errors, the highest Court of law and equity in the state of New York. The Supreme Court granted certiorari.

Issues: 1. Does a state have the power to grant an exclusive right to the use of state waterways inconsistent with federal law? 2. Was the New York court’s injunction against Ogden’s license lawful?

Decision: 1. No. A state does not have the power to grant an exclusive right to the use of state navigable waters inconsistent with federal law. 2. No. The New York monopoly was invalid under the Supremacy Clause.

Reason: Gibbons was given a license to move within the New York waterway, i.e., to navigate. Article I, Section 8 of the United States Constitution (Constitution) grants