Exxon Corp. v. Governor of Maryland
United States Supreme Court
437 U.S. 117 (1978)
After finding that oil producers and refiners gave their own retail stations preferential treatment during a gas shortage, Maryland barred producers and refiners from operating retail gas stations in the state; no oil was produced or refined in Maryland, though out-of-state companies operated about 5 percent of its stations. Exxon (plaintiff) sued the Governor of Maryland (defendant), arguing the law discriminated against interstate commerce and was preempted by federal policy. The trial court invalidated the statute, but the Maryland Court of Appeals reversed, and Exxon appealed to the U.S. Supreme Court.
Whether a state may enact legislation that creates hardships for some interstate companies operating in the state, provided the statute does not discriminate against or unduly burden interstate commerce.