| Limiting the Federal Forum: The Dangers of an Expansive Interpretation of the Tax Injunction Act |
| Brianne J. Gorod [View as PDF] |
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115 Yale L.J. 727 (2005) In Henderson v. Stalder, the Court of Appeals for the Fifth Circuit held that the Tax Injunction Act (TIA) of 1937 prevents the federal courts from exercising jurisdiction over any case in which a victory for the plaintiff might reduce state revenues. In reaching this result, the Fifth Circuit did more than diminish its own power: It gave state legislatures a potentially powerful tool to insulate their actions from constitutional review in the federal courts. The Fifth Circuit's holding is troubling because it threatens the ability of the federal courts to fulfill their historic role in safeguarding rights created under federal law. This Comment argues that Henderson was wrongly decided. By holding that the court lacked jurisdiction to hear the plaintiffs' claims, the Fifth Circuit needlessly limited the power of the federal courts vis- -vis state legislatures and opened a door to state legislatures intentionally crafting legislation so that it will be immune from review in the federal courts. Part I describes the legislative program the plaintiffs challenged in Henderson. Part II argues that in reaching its decision, the Fifth Circuit not only critically misinterpreted existing Supreme Court precedent, but also gave the TIA a construction that is at odds with the enacting Congress's intent. Part III discusses the dangerous possibility that the Fifth Circuit's abdication of jurisdiction will spur states to structure legislative programs as "taxes" specifically to insulate them from constitutional review in the federal courts. |