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New Energy Co. of Indiana v. Limbach
United States Supreme Court
486 U.S. 269 (1988)
New Energy Company of Indiana (plaintiff) filed suit in the state courts of Ohio to challenge an Ohio law that awarded tax credits to dealers of automotive fuel for each gallon of ethanol-containing fuel sold, but only if the ethanol was produced in Ohio or in a state that granted reciprocal tax credits. New Energy asserted that the law violated the Commerce Clause of the United States Constitution by discriminating against interstate commerce. The state supreme court initially found the law improperly discriminatory against out-of-state producers, but reversed itself upon rehearing. New Energy petitioned the United States Supreme Court for review.
Rule of Law
Holding and Reasoning (Scalia, J.)
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