The U.S. Supreme Court rules in McCulloch…
February 1819 CE
The state of Maryland had attempted to impede operation of a branch of the Second Bank of the United States by imposing a tax on all notes of banks not chartered in Maryland.
Though the law, by its language, is generally applicable to all banks not chartered in Maryland, the Second Bank of the United States is the only out-of-state bank existing in Maryland, and the law is recognized in the court's opinion as having specifically targeted the Bank of the United States.
In making its ruling on on March 6, 1819, the Court invokes the Necessary and Proper Clause of the Constitution, which allows the Federal government to pass laws not expressly provided for in the Constitution's list of express powers, provided those laws are in useful furtherance of the express powers of Congress under the Constitution.
This case establishes two important principles in constitutional law.
First, the Constitution grants to Congress implied powers for implementing the Constitution's express powers, in order to create a functional national government.
Second, state action may not impede valid constitutional exercises of power by the Federal government.