History
New York State dairy farmers were disproportionately affected by farm prices decline after World War I, and the Great Depression further exacerbated the problems they faced. To address this problem, the New York legislature created a joint legislative committee headed by State Senator Perley A. Pitcher to devise a remedy.
Following the hearings, in 1933, the state of New York established a Milk Control Board that was empowered to set maximum and minimum retail prices. The Board set the price of a quart of milk at nine cents. This price reflected the then-current market price, and the purpose of this order was to prevent price-cutting. Nevertheless, the public suspected that the Board’s intent was to benefit the dairy dealers instead of farmers because the minimum prices for the two sides were not the same. Tensions ran so high that violent milk strikes took place throughout the state, resulting in two deaths and a great deal of property damage. Every public hearing of the Milk Control Board resulted in a "tumultuous, popular assemblage" and its every action was "Statewide news."
A search began for a case that would challenge the constitutional basis of the statute. Leo Nebbia, the owner of a grocery store, sold two quarts of milk and a 5-cent loaf of bread for 18 cents. Nebbia was found guilty of violating the price regulations, and was fined five dollars. Nebbia challenged the conviction, arguing that the statute and order violated the Equal Protection Clause and Due Process Clause of the Fourteenth Amendment.
The county court and the Court of Appeals affirmed the conviction, and the case was heard by the Supreme Court.
Read more about this topic: Nebbia V. New York
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