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Bob-Lo Excursion Co. v. Michigan
Citations: 92 L. Ed. 2d 455; 68 S. Ct. 358; 333 U.S. 28; 1948 U.S. LEXIS 2721; 92 L. Ed. 455Docket: 374
Court: Supreme Court of the United States; February 2, 1948; Federal Supreme Court; Federal Appellate Court
Justice Rutledge provided the Court's opinion regarding Bois Blanc Island, located in Ontario, Canada, near Detroit, Michigan. The appellant owns the majority of the island and operates it as an amusement destination for Detroit residents, utilizing two steamships exclusively for transporting patrons to and from the island. The transportation service does not carry freight or mail and only offers round-trip tickets for patrons seeking leisure. The appellant has historically encouraged all visitors except for two groups: disorderly individuals and people of color. This case arises from an incident on June 21, 1945, when Sarah Elizabeth Ray, the only Black member of a group of girls on a sponsored excursion, was denied boarding after purchasing a ticket. Despite her attempts to protest the discrimination, she was forcibly removed by the appellant's staff. Following this incident, a criminal prosecution was initiated against the appellant for violating the Michigan Civil Rights Act. The trial court found the appellant guilty of discrimination, imposing a $25 fine. This decision was upheld by the Michigan Supreme Court, which confirmed the applicability of the civil rights statute in this context. The Michigan Civil Rights Act ensures that all individuals in the state are entitled to equal access to various public accommodations, including transportation and amusement facilities, without discrimination based on race, subject only to legal conditions that apply uniformly to all citizens. Any owner, lessee, or employee of a business that withholds accommodations based on race, creed, or color is guilty of a misdemeanor and liable for treble damages under Michigan law. The Michigan Supreme Court upheld the applicability of this statute to the appellant’s business, rejecting its argument that it is not a 'public conveyance.' The court also dismissed the appellant’s constitutional claims regarding due process and equal protection under the Fourteenth Amendment. The primary legal question addressed is whether the application of the Michigan civil rights act violates the Federal Commerce Clause. The court concluded it does not, affirming that the appellant’s transportation of patrons constitutes foreign commerce, as the vessels operate between U.S. territory and foreign jurisdictions, specifically crossing the Detroit River. The appellant adheres to federal regulations concerning customs and immigration, and the business is largely localized, serving primarily Detroit residents. The island is economically tied to Detroit, with no direct access from Canada, reinforcing the local significance of the appellant’s operations. The vessels exclusively transport patrons for recreational activities, with no overnight accommodations, and no other individuals have the right to access the island from Canada. Bois Blanc is characterized as an island not only geographically but also economically and socially, insulating its business operations from the typical interactions of foreign commerce. This localized business activity occurs with Canada's consent and does not infringe upon Canadian sovereignty, despite being largely conducted in Canadian waters. The business is deemed more relevant to Detroit and Michigan than to Canadian or U.S. interests in foreign commerce regulation. Current regulations do not conflict with federal policy or Canadian law, although the appellant raises concerns about potential conflicting Canadian regulations regarding Michigan's civil rights act. The likelihood of such conflicts is viewed as remote. The state’s authority to regulate foreign commerce is affirmed, as states have historically regulated aspects of both foreign and interstate commerce with congressional consent. The precedent cases cited by the appellant—Hall v. DeCuir, Morgan v. Virginia, and Pryce v. Swedish-American Lines—are distinguished as not directly applicable due to differing factual contexts regarding the degree of localization and the nature of the commerce involved. The unique, localized nature of the appellant's business suggests that Michigan's application of its civil rights act is justified and does not pose a realistic risk of conflicting regulations. National interest or policy does not appear to be negatively impacted by Michigan's statute against racial discrimination, particularly in the context of foreign commerce. The state's interest in prohibiting discrimination outweighs any potential federal concerns. The Supreme Court of Michigan determined that enforcing this statute would require the defendant to accept all passengers, including those of the negro race, on its ships without undue burden on its business operations. The judgment affirming this position was upheld. The appellant, a Michigan corporation, operates amusement parks in Canada and provides excursion services using steamers and ferries in interstate and foreign commerce. While the appellant offers separate excursions for Ontario residents, the focus is on travel between Detroit and Bois Blanc. The company establishes its own rates, typically charging 85 cents for round trips, with variations for weekends and special excursions. The company has a policy of excluding "Zoot-suiters" and individuals of color, documented by ticket terms allowing rejection of passengers. The Michigan Penal Code prohibits denying accommodations based on race, creed, or color, classifying such refusals as misdemeanors. Upon conviction for violations of the specified legal provisions, an individual may face a minimum fine of $25, a minimum imprisonment of 15 days, or both, at the court's discretion. Individuals associated with a place of business that violates these provisions are liable to the injured party for treble damages in a civil action, with the stipulation that such rights of action are unassignable. The law prohibits discrimination based on race, creed, or color in various contexts, including jury selection and service provisions. The Michigan statute, enacted in 1885, aligns with similar legislation in 17 other states and has been deemed constitutional. The Michigan Supreme Court ruled that the defendant operates "public conveyances" by water and must provide full and equal accommodations under the Michigan Civil Rights Act. The court distinguished this case from previous rulings regarding common carriers, noting that the current action is grounded in the state civil rights act rather than federal civil rights statutes. The jurisdictional review included questions regarding the Fourteenth Amendment and the commerce clause, but the appellant clarified that the primary issue was under the Michigan Civil Rights Act and the commerce clause. Although the Michigan Supreme Court did not explicitly address the Fourteenth Amendment claims, they were implicitly rejected through the court's affirmance of the lower court's judgment. The trial court had previously ruled that foreign commerce was not involved, yet maintained that the application of the civil rights act was unaffected by the commerce clause. Upon arrival at Bois Blanc, passengers undergo Canadian customs and immigration inspections, with similar inspections by U.S. authorities occurring prior to the war. During the war, U.S. inspections were suspended, and the appellant filed a bond to indemnify the Treasury for any potential revenue losses related to the importation of goods. Lighthouse premises are likely occupied by a keeper, though the habitation status of surrounding sites is unclear. Ontario's Racial Discrimination Act of 1944 and federal legislation establish a national anti-discrimination policy, particularly in relation to the Interstate Commerce Act, which mandates equal facilities for all passengers. Additionally, federal law requires collective bargaining agents to represent all employees without racial discrimination. Michigan's policy aligns with this national direction. The Act of August 7, 1789, affirmed that pilotage regulations in U.S. waters should adhere to state laws until Congress intervenes. Historical legislation, such as the Act of March 2, 1837, allowed vessels to hire pilots qualified under either state’s laws on boundary waters. The Texas statute regulating pilotage for a British vessel was upheld in Olsen v. Smith, countering claims of state power limitations in this area. The court has established that state laws governing pilotage, while impacting commerce, are permissible until federal action occurs. Two cases involving the vessels Consul and Undine illustrate this point; the Consul engaged in coastwise trade, whereas the Undine's destination remains unspecified but is inferred to be foreign due to the absence of a federal coasting license. Arguments presented suggest both were involved in foreign commerce, despite only the Consul being engaged in coastwise trading.