morey doud argued april decided june illinois community currency exchanges act provides licensing inspection bonding regulation currency exchanges engaged business issuing selling money orders forbids business premises business exempts provisions money orders sold issued american express old established enterprise unquestioned solvency high financial standing sells money orders local drug grocery stores appellees currency exchange issuing selling money orders agent selling drugstore sued enjoin enforcement act ground unconstitutionality held application act appellees denies equal protection laws guaranteed fourteenth amendment pp equal protection clause require every state regulatory statute apply business statutory discrimination must based differences reasonably related purposes statute smith cahoon pp moreover discrimination justified different business characteristics reasonable relation differences hartford harrison discrimination favor american express involved reasonable relation purposes act different business characteristics pp effect discrimination involved create closed class singling american express money orders exemption requirements act pp exemption money orders gives american express important economic competitive advantages appellees pp taking factors conjunction application act appellees deprives equal protection laws case need remitted illinois courts determination whether exception severed act severability clause illinois indicated rather clearly exception severable pp william wines assistant attorney general illinois argued cause appellants brief latham castle attorney general ben schwartz assistant attorney general benjamin adamowski kent yowell john yowell argued cause filed brief appellees justice burton delivered opinion case concerns validity provision illinois community currency exchanges act amended excepting money orders american express company requirement firm selling issuing money orders state must secure license submit state regulation objection raised exception results denial equal protection laws guaranteed fourteenth amendment constitution subjected requirements act reasons hereafter stated hold act invalid applied discriminatory exception appellees case doud mcdonald carlson partners business bondified systems derrick agent partnership exclusive right sell bondified money orders illinois directly agents contemplates selling money orders illinois agents principally engaged operating retail drug grocery stores derrick proprietor drugstore illinois operates bondified agency store fearing enforcement provisions act four individuals instituted suit district northern district illinois appellants auditor public accounts state illinois attorney general state state attorney cook county complaint alleged act violated equal protection clause fourteenth amendment unlawfully discriminated complainants favor american express company injunction enforcement act sought since complaint attacked validity state statute constitution case heard district pursuant hearing evidence district dismissed complaint ground lacked jurisdiction determine constitutional question absence authoritative determination question illinois supp appeal held district erred dismissing case lack jurisdiction remanded district remand district considered merits evidence previously heard unanimously held act violated equal protection clause appellees entitled relief sought supp decree enjoined appellants enforcing act appellees long engage business issuing selling money orders case came direct appeal noted probable jurisdiction early closing many banks chicago area led development simple banking facilities called currency exchanges principal activities exchanges cashing checks fee selling money orders fact many exchanges went business without adequate capital without sufficient safeguards protect public resulted enactment illinois community currency exchanges act act amendments provide comprehensive scheme licensing regulation currency exchanges operation community currency exchange without license made crime applicant license must submit specified information pay investigation fee license issued unless state auditor determines issuance promote convenience advantage community business applicant proposed conducted surety bond insurance policy must filed annual license fee required licensed exchange must maintain minimum available cash uses purposes business plus amount liquid funds sufficient pay demand outstanding money orders issued exchange must entity financed conducted separate business unit conducted department another business community currency exchange hereafter licensed first time shall share room business trade profession shall occupy room direct access room occupied business trade profession one place business may maintained one license although one license may issued licensee annual financial reports must submitted state auditor duty investigate exchange least year fee must paid day part thereof investigation following definition community currency exchange crucial case community currency exchange means person firm association partnership corporation except banks incorporated laws state national banks organized pursuant laws engaged fixed permanent place business business service providing facilities cashing checks drafts money orders evidences money acceptable community currency exchange fee service charge consideration engaged business selling issuing money orders name money orders post office money orders american express company money order postal telegraph company money orders western union telegraph company money orders engaged businesses engaged performing one foregoing services emphasis supplied american express company hand money orders excepted relieved licensing regulatory requirements appears exempt regulation illinois american express company unincorporated joint stock association organized laws new york conducts business includes sale money orders sells money orders illinois substantially manner contemplated bondified partnership authorized agents located drug grocery stores since american express money orders subject act sold legally stores part business american express outlets may established without regard convenience advantage community operate finally outlets need pay licensing inspection fees file surety bonds insurance policies state determining constitutionality act application appellees light exception american express money orders start established proposition prohibition equal protection clause goes invidious discrimination williamson lee optical rules testing discrimination summarized follows equal protection clause fourteenth amendment take state power classify adoption police laws admits exercise wide scope discretion regard avoids done without reasonable basis therefore purely arbitrary classification reasonable basis offend clause merely made mathematical nicety practice results inequality classification law called question state facts reasonably conceived sustain existence state facts time law enacted must assumed one assails classification law must carry burden showing rest upon reasonable basis essentially arbitrary lindsley natural carbonic gas act creates statutory class sellers money orders money orders sold one company american express excepted class one american express company exception upheld must basis cast exception particular business entity generic category purpose act licensing regulatory provisions clearly protect public dealing currency exchanges american express company enterprise unquestioned solvency high financial standing state argues legislative classification reasonable contends special characteristics american express company justify excepting money orders requirements act aimed local companies local business appellees position complain competitive disadvantages since fourteenth amendment protect business hazards competition citing hegeman farms baldwin equal protection clause require every state regulatory statute apply business truism example size index evil law directed discriminations large small permissible moreover repeatedly recognized reform may take one step time addressing phase problem seems acute legislative mind williamson lee optical hand statutory discrimination must based differences reasonably related purposes act found smith cahoon involved state statute required motor vehicles operating local highways carriers hire furnish bonds insurance policies protection public injuries received negligence operations act excepted motor vehicles carrying specified products held exception violated equal protection clause since statutory purpose protecting public reasonably support discrimination carrying exempt products like farm produce regulated products like groceries classification based anything relation purpose made course distinctions treatment business entities engaged business activity may justified genuinely different characteristics business involved even discrimination name distinctions justified discrimination reasonable relation differences hartford harrison case held state statute permitted mutual insurance companies act salaried resident employees excluded stock insurance companies privilege violated equal protection clause principles controlling smith hartford cases supra applicable provisions illinois act requiring annual inspection licensed community currency exchanges state auditor make clear statute intended afford public continuing protection discrimination favor american express company conform purpose exception money orders apparently rests legislative hypothesis characteristics american express company make unnecessary regulate sales yet sales virtue exception continue unregulated whether american express company retains present characteristics hand sellers competing money orders subject act even though characteristics become substantially identical american express company moreover act blanket exception takes account characteristics local outlets sell american express money orders distinct possibility may afford less protection public retail establishments sell competing money orders american express company responsible institution operating basis minimize fact public buys american express money orders local drug grocery stores relies part reliability selling agents effect discrimination create closed class singling american express money orders singling money orders one company sense converse case like cotting kansas city stock yards see also mcfarland american sugar cotting case held regulatory statute fact applied one stockyard state violated equal protection clause although statutory discriminations creating closed class upheld statute established closed class held violate equal protection clause face attempt give economic advantage engaged given business arbitrary date enter industry date mayflower farms ten eyck statute involved case granted differential regulated price dealers sell milk dealers specified class business april unlike american express company appellees others barred selling money orders retail establishments even competing outlets successfully established separate businesses ability secure licenses depends upon showing convenience advantage perhaps showing made unregulated american express company already established outlets community even licenses secured licensees required pay licensing investigatory fees purchase surety bonds insurance policies costs american express company agents required bear fact activities american express company minimize impact local affairs competitors sale money orders illinois case fourteenth amendment invoked protect business general hazards competition hazards roots statutory discrimination taking factors conjunction remote relationship statutory classification act purpose business characteristics creation closed class singling money orders named company accompanying economic advantages hold application act appellees deprives equal protection laws state urges exception american express money orders unconstitutional case remitted illinois courts determination whether exception severed act severability clause however even procedure otherwise appropriate deem unnecessary since illinois indicated rather clearly exception severable state also contends appellees come clean hands demonstrated imminence irreparable injury hence entitled equitable relief arguments adequately disposed opinion district judgment district affirmed footnotes registered bondified owned checks incorporated minnesota corporation partnership bondified systems acquired exclusive license use selling issuing money orders holding district declined follow illinois sustaining act similar attack mcdougall lueder accepted instead precedent federal district wisconsin held unconstitutional identical provision wisconsin statute currency services matthews supp see gadlin auditor public accounts appellees question exception act money orders post office postal telegraph company western union telegraph company currency services matthews supp district upheld exception money orders similar wisconsin statute concluded state without authority regulate sale post office money orders exception western union money orders reasonable since company regulated federal communications commission state commission noted postal telegraph company merged western union telegraph company see mcdougall lueder willis fidelity deposit app see mcdougall lueder see engel exception businesses average sum received safekeeping transmission licensing requirements intended protect small depositor see also new york new york exception railroads less miles length statute regulating heating railroad passenger cars placing guards guard posts railroad bridges miller strahl exception hotels less rooms statute requiring hotelkeepers take certain fire precautions see royster guano virginia louisville gas coleman see german alliance ins lewis exception farmers mutual insurance companies farm business statute establishing rate regulation fire insurance companies hoopeston canning cullen different regulatory requirements reciprocals mutual companies see erb morasch exception named railroad ordinance limiting speed trains city cf williams mayor see watson maryland exception physicians practiced prior specified date treated least persons within year prior thereto examination certificate requirements sampere new orleans la aff per curiam exception existing business establishments zoning restriction stanley public utilities commission exception carriers furnished adequate responsible continuous service given route specified date past requirement showing public convenience necessity secure license see currency services matthews supp effect costs may prohibitive wedesweiler brundage illinois held equal protection clause violated statute excepted express steamship telegraph companies prohibition transmission money foreign countries natural persons firms partnerships concluded discrimination reference character solvency financial responsibility security business monetary facilities incorporation method business public inspection supervision report thing relation protection public loss reason dishonesty incompetence ignorance irresponsibility persons engaging business see also state inf taylor currency services mo wedesweiler case distinguished illinois mcdougall lueder ground earlier case regulated firms direct competition excepted companies apparently treated regulated firm mcdougall case direct competition american express company since firm engaged business cashing checks well selling money orders american express company merely sold money orders distinction involved facts case express opinion see guinn myers anderson dorchy kansas mcdougall lueder illinois stated general assembly surely never passed act thought said companies western union postal telegraph american express made subject rules regulations statement takes added significance light ruling case another provision act held invalid severed since presumption general assembly enacted remainder statute without invalid provision question severability question state law judgment illinois binding see dorchy kansas chas wolff packing industrial relations see doud hodge supp justice black dissenting illinois statute involved provides regulatory plan protect public irresponsible insolvent sellers money orders act specifically exempts american express company money orders regulatory provisions recognizes company enterprise unquestioned solvency high financial standing agree exemption denies actual potential competitors american express company equal protection laws within meaning fourteenth amendment recently held prohibition equal protection clause goes invidious discrimination williamson lee optical oklahoma whatever one may think merits legislation exemption company known solvency solvency test applied others unknown financial responsibility hardly called invidious unless state legislatures power make distinctions plainly unreasonable ability protect citizens regulating business within boundaries seriously impaired feel necessary express objection use general provisions constitution restrict narrowly state power state domestic economic affairs think state regulation viewed quite differently touches involves freedom speech press religion petition assembly specific safeguards bill rights duty alert see constitutionally preferred rights abridged illinois statute involve basic liberties since believe invidiously discriminatory hold invalid see dissents hood sons du mond magnolia petroleum hunt adamson california cf tigner texas american sugar refining louisiana cases wall schneider state see dissenting opinions beauharnais illinois feldman cf kotch board river port pilot concurring opinion oyama california justice frankfurter justice harlan joins dissenting sole question whether fourteenth amendment constitution prohibiting state denying person equal protection laws barred illinois formulating domestic policy area concededly within regulatory power state usually true questions arising equal protection clause answer turn way clause conceived differences judicial approach divisions applying clause frequent marked believe accurate summarize matter saying great divide decisions lies difference emphasizing actualities abstractions legislation complicated society becomes greater diversity problems legislation direct diversities statutes directed less universal situations law reflects distinctions exist fact least appear exist judgment legislators responsibility making law fit fact legislation essentially empiric addresses less crude outside world neat logical models mind classification inherent legislation equal protection clause forbidden recognize marked differences exist fact living law disregard practical differences concentrate abstract identities lifeless logic controlling importance differences approach problem arising equal protection clause sharply illustrated one view decisions cases like louisville gas coleman hartford harrison relies false leads decisions prevailed narrowest margin evoked powerful dissents manifest requirement nondiscriminatory classification exercise logical abstractions breathe spirit decisions like connolly union sewer pipe colgate harvey respectively overruled tigner texas madden kentucky last two cases heeded admonition important avoid extracting general language fourteenth amendment system delusive exactness louisville nashville barber asphalt regulating banking facilities illinois drawing one oldest legislative powers public needs protected issuing selling money orders people limited means especially safeguarded illinois chose state take money order business see noble state bank haskell found nothing constitution bar state engaging businesses manufacturing marketing farm products providing homes people green frazier surely nothing prevent illinois engaging business directly money dispensary similar mode engage liquor business know nothing fourteenth amendment bar state discharging responsibility citizens business conducted recognizes enterprise unquestioned solvency high financial standing wit american express co regretfully find unable appreciate state instead thus dealing problem may choose allow small units carry business fraught public interests regulations devised statute review time finds measures control needless case enterprise unquestioned solvency high financial standing rational differentiation course latter enterprise contains within judgment illinois necessary safeguards solvency reliability issuing money orders redeeming surely distinction significance fact law view glass eye suggested american express may continue retain present characteristics sellers competing money orders may continue subject act even though characteristics become substantially identical american express deny state right legislate basis circumstances exist state may speculatively different circumstances may never come pass right surely time enough strike legislation constitutional justification gone invalidating legislation serious business indulged situation even remotely probable valid statute may lose foundation occasion deal contingency regulatory measures sustained later changed circumstances found unconstitutional compare willcox consolidated gas newton consolidated gas block hirsh chastleton sinclair legislation regulates business may well make distinctions depend upon degree evil heath milligan mfg worst true doubt size index admitted evil law discriminate great small case size index engel neither record judicial information affords basis concluding illinois may put post office western union american express one class money order issuers another illinois may less relieve american express regulations multitudinous small issuers subject company reliabilities may well different post office western union telegraph co vital fact american express decisively different money order issuers within regulatory scheme