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Constitutional Law Keyed to Chemerinsky
Allgeyer v. Louisiana
Facts
The Plaintiff state had an article in its constitution prohibiting foreign corporations from doing business in the Plaintiff state, unless they had a place of business and an authorized agent within the state. Atlantic Mutual Insurance Company of New York (Atlantic) wrote an insurance policy to cover property located within the Plaintiff state. This contract was formed in New York and was outside the jurisdiction of the Plaintiff state. A letter of notification of coverage was written in the Plaintiff state and sent to a local citizen. As a result, the state claimed that the Atlantic was conducting business in the Plaintiff state in violation of the Plaintiff state’s constitution. The Defendant, Allgeyer (Defendant), purchased the aforementioned marine insurance policy from Atlantic to insure goods shipped from New Orleans. The Defendant was convicted of violating the Plaintiff state’s law and order to pay a fine. The Louisiana court upheld the Defendant’s conviction.
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