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Tracy","href":"https:\/\/api.oyez.org\/cases\/1996\/95-1232","view_count":0,"docket_number":"95-1232","additional_docket_numbers":null,"manner_of_jurisdiction":"Writ of \u003Ci\u003Ecertiorari\u003C\/i\u003E","first_party":"General Motors Corporation","second_party":"Tracy","timeline":[{"event":"Argued","dates":[844664400],"href":"https:\/\/api.oyez.org\/case_timeline\/case_timeline\/37845"},{"event":"Decided","dates":[856245600],"href":"https:\/\/api.oyez.org\/case_timeline\/case_timeline\/37846"}],"lower_court":{"ID":56,"name":"Ohio Supreme Court","href":"https:\/\/api.oyez.org\/taxonomy\/term\/56"},"facts_of_the_case":"\u003Cp\u003EThe State of Ohio imposes general sales and use taxes on natural gas purchases from all sellers, whether in-state or out-of-state, that do not meet its statutory definition of a \u0022natural gas company.\u0022 Ohio\u0027s state-regulated natural gas utilities, known as local distribution companies or LDC\u0027s, satisfy the definition. Other producers and independent marketers, according to the State Supreme Court, generally do not. During the period in question, General Motors Corporation (GMC) bought virtually all the gas for its plants from out-of-state independent marketers, rather than from LDC\u0027s, making it subject to the Ohio tax. In front of the State Supreme Court, GMC argued that denying a tax exemption to sales by marketers but not LDC\u0027s violates the Commerce and Equal Protection Clauses. After an initial conclusion, the court held that GMC lacked standing to bring a Commerce Clause challenge. The court then dismissed the equal protection claim as buried in GMC\u0027s Commerce Clause argument.\u003C\/p\u003E\n","question":"\u003Cp\u003EDoes the State of Ohio\u0027s different tax treatment of sales of gas by domestic utilities subject to regulation and sales of gas by other entities violate the Commerce Clause or Equal Protection Clause?\u003C\/p\u003E\n","conclusion":"\u003Cp\u003ENo. In an 8-1 opinion delivered by Justice David H. Souter, the Court held that Ohio\u0027s differential tax treatment of natural gas sales by public utilities and independent marketers violated neither the Commerce Clause nor the Equal Protection Clause. After concluding that GMC had standing to raise a Commerce Clause challenge, Justice Souter wrote for the Court, \u0022we conclude that Ohio\u0027s regulatory response to the needs of the local natural gas market has resulted in a noncompetitive bundled gas product that distinguishes its regulated sellers from independent marketers to the point that the enterprises should not be considered \u0027similarly situated\u0027 for purposes of a claim of facial discrimination under the Commerce Clause. GMC\u0027s argument that the State discriminates between regulated local gas utilities and unregulated marketers must therefore fail.\u0022 Justice John Paul Stevens dissented.\u003C\/p\u003E\n","advocates":[{"advocate":{"ID":33001,"name":"Jeffrey S. 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