The New York court case cited below explains that when a law refers to a domestic corporation, it is a corporation within a state. In this case, since it’s a New York law, the United States is not a domestic corporation and is instead a foreign corporation.
When thou sees a sign or letter saying ‘domestic’ policy, check which entity wrote the sign or letter or ‘order‘ and whether it applies to thee. If United States created the sign, then the sign refers only to United States (the territories) not any of the American states.
This case involves a donation to United States from a New Yorker. The plaintiff asserted that the New York state estate tax excludes domestic donations. However, the court ruled United States is not domestic in this instance, but is instead foreign.
It is suggested that the United States is to be regarded as a domestic corporation, *Page 485 so far as the State of New York is concerned. We think this contention has no support in reason or authority. A domestic corporation is the creature of this state created by its legislature, or located here and created by or under the laws of the United States. (Code of Civil Pro., § 3343, sub. 18.) – see text
This overall point relates to many things described as domestic and in particular to sending letters with the words ‘non-domestic’ for four cents. USPS speaks from perspective of the United States, so domestic mail means letters sent within United States (meaning the territories). When we write ‘non-domestic’ on the envelopes, then we’re sending letters (not mail) without United States.
I’d like to add one more complex point that may be hard to comprehend due to the language deception.
United States corporation has child companies such as THE STATE OF NEW YORK. When THE STATE OF NEW YORK issues a domestic order, that really only applies to the federal citizens (U.S. citizens) on federal land within New York (1781).
What domestic means depends on the context:
- UNITED STATES: DC and the territories and federal land within the American states
- NEW YORK STATE (1871?): federal land within the states
- New York (1781): the land and government of New York
In this 1894 court ruling, they are speaking from the perspective number three. Domestic means New York related. United States is therefore a foreign corporation.
The ruling also has this key sentence:
The United States is a government and body politic and corporate, ordained and established by the American people acting through the sovereignty of all the states.
New York, like the other American states, is sovereign. There’s nothing higher than sovereign. Federal law is not above New York State law. In fact, Federal law has nothing whatsoever to do with the people of New York. Federal law applies to DC and the territories. It can’t apply to a different sovereign state.
And from Paper Arrows:
Read the court case (a few times)
Matter of Merriam, 36 N.E. 505 (NY 1894)
New York Court of Appeals
Filed: March 6th, 1894
Precedential Status: Precedential
Citations: 36 N.E. 505, 141 N.Y. 479
Docket Number: Unknown
Author: Willard Bartlett