Intrastate Commerce in United States
Practical Information
Note: Some of this information was last updated in 1982
Business conducted entirely within a state and not part of an interchange or movement of tangible or intangible commodities across state boundaries. A firm that manufactures, sells, and uses a product entirely within one state is engaged in intrastate commerce. Isolated cases of engaging in interstate commerce (in U.S. law) will not affect the standing of an intrastate firm.
A state can prohibit a foreign corporation (in U.S. law) from doing intrastate business within its borders unless it meets certain qualifying conditions. Of course, these conditions must be reasonable.
It is important to differentiate between intrastate and interstate commerce under most of the federal regulatory laws. Any business (even though intrastate in nature) that “affects” interstate commerce, may be subject to federal regulation. For example, the Wage Hour Law regulated labor conditions in industries engaged in the production of goods for commerce. Thus, employees of a local linen supply company that services the needs of customers engaged in interstate commerce are rendering services necessary for the production of goods for interstate commerce, and are therefore covered by federal law. See also interstate commerce (in U.S. law); concurrent powers (in U.S. law).
What is Intrastate Commerce?
For a meaning of it, read Intrastate Commerce in the Legal Dictionary here. Browse and search more U.S. and international free legal definitions and legal terms related to Intrastate Commerce.
Intrastate Commerce
United States Constitution
According to the Encyclopedia of the American Constitution, about its article titled 267 INTRASTATE COMMERCEThe constitutional convention of 1787, by listing among Congress’s enumerated powers the power to regulate commerce “among the several states” as well as with Indian tribes and foreign countries, appeared to reserve for regulation by each state its own domestic commerce. Indeed,
(read more about Constitutional law entries here).
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