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A user applied to the Federal Computer Abuse Commission for a license to possess a computer. The Commission held, and the user participated in, a trial-type proceeding on the user's license application. In that proceeding it was demonstrated that the user repeatedly and intentionally used computers to introduce secret destructive computer programs (computer viruses) into electronic data banks without the consent of their owners. As a result, the Commission denied the user's application for a license. The license denial was based on a Commission rule authorized by the Computer Abuse Act that prohibited the issuance of computer licenses to persons who had engaged in such conduct. Nevertheless, the user retained and continued to use his computer. He was subsequently convicted of the crime of unlicensed possession of a computer. On appeal, he challenges the constitutionality of the licensing provision of the Federal Computer Abuse Act.
The Federal Computer Abuse Act establishes the Federal Computer Abuse Commission, authorizes the Commission to issue licenses for the possession of computers on terms that are consistent with the purposes of the act, and makes the unlicensed possession of a computer a crime. The provisions of the Federal Computer Abuse Act are inseverable.
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Article I, Section 8, Clause 3 empowers Congress to «regulate commerce with foreign nations and among the several states, and with the Indian tribes.» Commerce is defined as «every species of commercial intercourse. .. which concerns more states than one,» including virtually every form of activity involving or affecting two or more states. Gibbons v. Ogden, 22 U.S. 1 (1824).
The Supreme Court has made it clear that the power of Congress to regulate commerce, although very broad, does have limits so as to not obliterate the distinction between what is national and what is local. To be within Congress's power under the Commerce Clause, a federal law must regulate under one of four categories: (i) channels of interstate commerce; (ii) instrumentalities of interstate commerce and persons and things in interstate commerce; (iii) articles moving in interstate commerce; or (iv) activities that have a substantial effect on interstate commerce.
Under Article I, Section 8, Congress does have the right to «lay and collect taxes. .. to pay the debts and provide for the. .. general welfare of the United States. . .» But the phrase «provide for the. .. general welfare» in this sentence modifies «lay and collect taxes. .. to pay the debts. . .» Therefore, Congress may spend for the general welfare, it may tax for the general welfare, but it may not regulate for the general welfare. See United States v. Butler, 297 U.S. 1 (1936). For this reason, a congressional regulatory scheme has to be justified as a reasonable means of carrying out some other enumerated power, typically the commerce power.
The legislature may delegate its authority to enact regulations, the violation of which are crimes, but prosecution for such violations must be left to the executive and judicial branches. See United States v. Grimaud, 220 U.S. 506 (1911). Therefore, statutes may criminalize conduct that is subsequently prosecuted by the executive agencies that have been delegated legislative power.
B is correct. One of Congress's most important powers is its authority to regulate commerce among the states. There are four categories of activities that Congress has the power to regulate under the Commerce Clause: (i) channels of interstate commerce; (ii) instrumentalities of interstate commerce; (iii) articles moving in interstate commerce; or (iv) activities having a substantial effect on interstate commerce. Therefore, Congress has broad power under the Constitution to regulate items in the stream of commerce, including the possession of computers. Because this licensing provision doesn't violate any other constitutional prohibition, it is constitutional.
A is incorrect. This answer reaches the correct answer with the wrong reasoning. Article I, Section 8 does grant Congress the power to make all laws necessary and proper to appropriately carry out the duties of the branches of government. It also gives Congress the power to tax and spend, which is subject to the requirement that such actions serve the general welfare. However, there is no independent congressional power to regulate for the general welfare.
C is incorrect. Congress may pass legislation that criminalizes certain actions, the prosecution of which may be delegated to agencies under the executive or judicial branches. See United States v. Grimaud, 220 U.S. 506 (1911). In this case, the statute itself is what establishes criminal liability for the unlicensed possession of computers, not the agency regulations.
D is incorrect. This is a misstatement of the law. The Commerce Clause gives Congress broad power to regulate articles that move in interstate commerce. Commercial products, such as computers, virtually always impact interstate commerce in some way, triggering the congressional power to regulate.