Posted by Randy Barnett:
More on Hoover as Proto-New Dealer:  
http://volokh.com/archives/archive_2009_01_18-2009_01_24.shtml#1232341581


   IFRAME:
   [1]http://rcm.amazon.com/e/cm?t=randyebarnetbost&o=1&p=8&l=as1&asins=0
   881337056&md=10FE9736YVPPT7A0FBG2&fc1=000000&IS2=1&lt1=_blank&m=amazon
   &lc1=0000FF&bc1=000000&bg1=FFFFFF&f=ifr

   Herbert Hoover--the "Forgotten Progressive"--also nominated three
   Justices to the Supreme Court: Charles Evans Hughes (February 24,
   1930�June 30, 1941) replacing Chief Justice Taft, Owen Roberts (June
   2, 1930�July 31, 1945) replacing Justice Sanford, and Benjamin Cardozo
   (March 14, 1932�July 9, 1938). In [2]O'Gorman and Young v. Hartford
   Fire Insurance Co, 282 U.S. 251 (1930), the Supreme Court began the
   so-called "New Deal Revolution" a few years early. In O'Gorman, it
   adopted what it called a "presumption of constitutionality" in place
   of the Progressive Era Supreme Court's requirement that a legislative
   interference with liberty be justified as reasonable. Here is a
   summary of the case from the The Oxford Companion to the Supreme Court
   of the United States:

     O'Gorman is a turning point case in the field of economic due
     process. One of the last liberty of contract cases, it involved a
     New Jersey statute regulating the fees paid to local agents by
     insurance companies. The statute was challenged as a violation of
     the Fourteenth Amendment's Due Process Clause. Contending that the
     facts surrounding its origins and operation should be
     determinative, Justice Louis Brandeis sustained the statute. He
     found that the presumption of constitutionality must prevail in the
     absence of some factual foundation of record for overthrowing the
     statute� (p. 258). Further, legislative judgment must prevail
     unless it could be demonstrated that the measure was utterly
     arbitrary. No such demonstration had been made. The business of
     insurance, he argued further, is so far affected with a public
     interest that the state may regulate the rates as a subject clearly
     within the scope of the police power. He further contended that the
     Court should cease using the Due Process Clause in a �substantive�
     manner to second guess the legislature.
     The four dissenters [Van Devanter, McReynolds, Sutherland, and
     Butler] vigorously propounded freedom of contract, restrictive
     alteration of the public interest doctrine, and the pressing
     obligation to check any legislative interference with property.
     They particularly objected to the idea that the right to regulate
     business implied the power to trespass on the duties of private
     management. The majority opinion, however, made clear that the
     constitutionality of state regulation of the economy should no
     longer turn on the question of its unreasonableness.

   IFRAME:
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   195120434&md=10FE9736YVPPT7A0FBG2&fc1=000000&IS2=1&lt1=_blank&m=amazon
   &lc1=0000FF&bc1=000000&bg1=FFFFFF&f=ifr

   The vote was 5-4 with Chief Justice Hughes and Justice Roberts tipping
   the balance. Indeed, the case was originally argued on April 30, 1930,
   after Hughes replace Taft but more than a week before Hoover nominated
   Roberts. With the Court presumably divided 4-4, O'Gorman was held over
   for reargument until October 30th, after which Roberts was able to
   form a new majority adopting the presumption of constitutionality.
   (See Barry Cushman's, [4]Rethinking the New Deal Court, p. 76.) Less
   than two years later, Hoover nominee Cardozo replaced Justice Brandeis
   who wrote the opinion in O'Gorman. In this way, it was Hoover's
   nominees who began seriously undermining the Due Process scrutiny of
   the Progressive Era Court--the approach identified with Lochner v. New
   York--well before Roosevelt had a chance to appoint anyone to the
   Supreme Court.

References

   1. 
http://rcm.amazon.com/e/cm?t=randyebarnetbost&o=1&p=8&l=as1&asins=0881337056&md=10FE9736YVPPT7A0FBG2&fc1=000000&IS2=1&lt1=_blank&m=amazon&lc1=0000FF&bc1=000000&bg1=FFFFFF&f=ifr
   2. http://supreme.justia.com/us/282/251/case.html
   3. 
http://rcm.amazon.com/e/cm?t=randyebarnetbost&o=1&p=8&l=as1&asins=0195120434&md=10FE9736YVPPT7A0FBG2&fc1=000000&IS2=1&lt1=_blank&m=amazon&lc1=0000FF&bc1=000000&bg1=FFFFFF&f=ifr
   4. 
http://books.google.com/books?id=vd25rMjHGPoC&pg=PA98&lpg=PA98&dq=barry+cushman+o%27gorman&source=bl&ots=iUAdkVJQPM&sig=Q1wME1OLuRnoUltJph94ujiI_L4&hl=en&sa=X&oi=book_result&resnum=1&ct=result#PPA76,M1

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