Tipco Corp., Inc. v. City of Billings

                        No. 81-330
         IN THE SUPREME COURT OF THE STATE OF MONTANA
                            1982


TIPCO CORPORATION, INC.
                         Plaintiff and Appellant,
         VS.

THE CITY OF BILLINGS,
                         Defendant and Respondent.


Appeal from:    District Court of the Thirteenth Judicial
                 District,
                In and for the County of Yellowstone
                Honorable William J. Speare, Judge presiding.
Counsel of Record:
    For Appellant:
          Stephens & Cole, Billings, Montana
          Larry Cole argued, Billings, Montana
   For Respondent:
          Peterson Law Offices, Billings, Montana
          V. Joe Leckie argued, Billings, Montana


                           Submitted:   March 1, 1982
                            Decided:    MAR 2 9 1982
Filed:   MAR 2 9 1982
M r . C h i e f J u s t i c e F r a n k I . H a s w e l l d e l i v e r e d t h e O p i n i o n of t h e
Court.
            The C i t y o f B i l l i n g s e n a c t e d a n o r d i n a n c e d e c l a r i n g unin-

v i t e d door-to-door            s o l i c i t a t i o n s a nuisance punishable a s a mis-
d e m e a n o r and e x e m p t i n g l o c a l m e r c h a n t s w i t h r e g u l a r l y e s t a b l i s h e d
p l a c e s o f b u s i n e s s from i t s o p e r a t i o n .        The D i s t r i c t C o u r t h e l d

t h e ordinance valid.                 We reverse.

            P l a i n t i f f T i p c o C o r p o r a t i o n is a f o r e i g n c o r p o r a t i o n w i t h
n o b u s i n e s s o f f i c e i n Montana.             Twelve s a l e s a g e n t s of T i p c o ,

l i c e n s e d and bonded u n d e r Montana s t a t u t e s , were s e l l i n g m a g a z i n e
s u b s c r i p t i o n s door-to-door          i n B i l l i n g s d u r i n g March 1 9 8 1 .        These
s a l e s a g e n t s d e p e n d e d on d o o r - t o - d o o r   solicitations for their

l i v e l i h o o d and income.           The s a l e s a g e n t s would f o r w a r d s u b s c r i p -
t i o n s o b t a i n e d from B i l l i n g s c u s t o m e r s to ~ i p c o ' smain o f f i c e i n
I n d i a n a which would p l a c e t h e s u b s c r i p t i o n s w i t h v a r i o u s m a g a z i n e

publishers.            The s a l e s a g e n t s were a r r e s t e d and c h a r g e d w i t h m i s -
demeanors under t h e B i l l i n g s o r d i n a n c e .
            On March 2 0 , 1 9 8 1 , T i p c o f i l e d a c o m p l a i n t i n t h e

Y e l l o w s t o n e County D i s t r i c t C o u r t t o e n j o i n t h e C i t y o f B i l l i n g s
f r o m e n f o r c i n g i t s o r d i n a n c e c o n t e n d i n g it con£ l i c t e d w i t h
o v e r r i d i n g s t a t e s t a t u t e s and was u n c o n s t i t u t i o n a l u n d e r F e d e r a l

and S t a t e C o n s t i t u t i o n a l p r o v i s i o n s .    The C i t y r e s p o n d e d w i t h a
m o t i o n t o d i s m i s s a l l e g i n g no c o n f l i c t w i t h s t a t e s t a t u t e o r
constitutional provisions.                        The ~ i s ti r t C o u r t , a f t e r n o t i c e to
                                                               c

t h e p a r t i e s t h a t it would t r e a t t h e case a s s u b m i t t e d on cross-
m o t i o n s f o r summary j u d g m e n t , g r a n t e d summary j u d g m e n t to t h e C i t y
u p h o l d i n g t h e v a l i d i t y of t h e o r d i n a n c e   .   Tipco appeals.

            Three i s s u e s a r e p r e s e n t e d on appeal:
            (1) Is t h e B i l l i n g s o r d i n a n c e i n v a l i d a s con£ l i c t i n g w i t h

s t a t e s t a t u t e s g o v e r n i n g t h e l i c e n s i n g of i t i n e r a n t v e n d o r s ?
            ( 2 ) Is t h e B i l l i n g s o r d i n a n c e i n v a l i d as c o n f l i c t i n g w i t h
s t a t e s t a t u t e s governing nuisances?
            ( 3 ) Does t h e B i l l i n g s o r d i n a n c e u n f a i r l y d i s c r i m i n a t e

a g a i n s t T i p c o c o n t r a r y t o t h e commerce c l a u s e of t h e U n i t e d S t a t e s
C o n s t i t u t i o n and t h e d u e p r o c e s s and e q u a l p r o t e c t i o n c l a u s e s o f
t h e U n i t e d S t a t e s and Montana C o n s t i t u t i o n s ?

           The r e l e v a n t s t a t e s t a t u t e s g o v e r n i n g i t i n e r a n t v e n d o r s
a r e f o u n d i n T i t l e 7 , C h a p t e r 21, MCA, and p r o v i d e as f o l l o w s :
                                                    " P a r t 23

                                 " L i c e n s i n g o f I t i n e r a n t Vendors
                                                     -

           "Definitions           ...
           " ( 2 ) W i t h i n t h e meaning o f t h i s p a r t , a n
            ' i t i n e r a n t vendor' is any p e r s o n engaged o r
           e m p l o y e d i n t h e b u s i n e s s o f r e t a i l i n g to con-
           s u m e r s by g o i n g f r o m c o n s u m e r to c o n s u m e r ,
           e i t h e r on t h e s t r e e t s or to t h e i r p l a c e s of
           r e s i d e n c e or employment and t h e r e s o l i c i t i n g ,
           s e l l i n g , o r o f f e r i n g to s e l l or e x h i b i t i n g f o r
           s a l e ( b y s a m p l e , b y c a t a l o g u e , o r o t h e r w i s e ) or
           t a k i n g o r d e r s f o r f u t u r e d e l i v e r y of any goods,
           wares, o r m e r c h a n d i s e or f o r s e r v i c e s to be per-
           formed i n t h e f u t u r e       ."    7-21-2301 ( 2 ) , MCA.
           "Scope -- r t
                  of p a             ...
           " ( 2 ) Nothing c o n t a i n e d i n t h i s p a r t is i n t e n d e d
           t o o p e r a t e s o as t o i m p a i r , a b r i d g e , o r i n t e r -
           f e r e w i t h t h e r i g h t of any i n c o r p o r a t e d munici-
           p a l i t y w i t h i n t h i s s t a t e t o e n a c t local l a w s o r
           o r d i n a n c e s d e a l i n g w i t h the s u b j e c t of t h i s
           p a r t , provided t h a t such m u n i c i p a l i t y s h a l l not
           i m p o s e a n y l i c e n s e f e e s i n e x c e s s o f twice t h e
           amount p r o v i d e d h e r e i n f o r county l i c e n s e f e e s
           7 - 2 1 - 2 3 0 2 ( 2 ) , MCA.
                                                                                          ."
           An a n n u a l $ 1 5 c o u n t y l i c e n s e f e e f o r i t i n e r a n t v e n d o r s is

provided i n the A c t .             S e c t i o n 7-21-2303,        MCA.

           The B i l l i n g s O r d i n a n c e p r o v i d e s i n p e r t i n e n t p a r t :
           "ORDINANCE N o .         5.20.050.          SOLICITING PROHIBITED

          "The p r a c t i c e o f g o i n g i n t o p r i v a t e r e s i d e n c e s ,
          business establishments, o r o f f i c e s i n the City
          b y solicitors, p e d d l e r s , hawkers, i t i n e r a n t
          m e r c h a n t s and t r a n s i e n t v e n d o r s o f m e r c h a n d i s e ,
          n o t h a v i n g b e e n r e q u e s t e d or i n v i t e d to d o so b y
          t h e owner or o w n e r s , o c c u p a n t or o c c u p a n t s of
          p r i v a t e r e s i d e n c e s , b u s i n e s s e s t a b l i s h m e n t s or
          o f f i c e s f o r t h e purpose of s o l i c i t i n g o r d e r ( s i c ) f o r
          t h e s a l e o f g o o d s , wares and m e r c h a n d i s e , a n d / o r
          f o r t h e purpose of d i s p o s i n g of and/or peddling
          o r hawking same is h e r e b y d e c l a r e d t o be a
          n u i s a n c e and p u n i s h a b l e a s a m i s d e m e a n o r . "
           "ORDINANCE NO.           5.20.060.          EXCEPTIONS.
          "The p r o v i s i o n s o f t h i s c h a p t e r s h a l l n o t a p p l y
          t o r e g u l a r l y e s t a b l i s h e d p l a c e s of b u s i n e s s o r
          t o bonafide merchants having r e g u l a r l y
          e s t a b l i s h e d places of business within said c i t y ,
          o r t o a n y r e g u l a r l y l i c e n s e d a u c t i o n e e r or to
           a n y p e r s o n d i s t r i b u t i n g by s a l e , o r o t h e r w i s e ,
           p r o d u c e d b y him on owned o r l e a s e d p r e m i s e s ;
           p r o v i d e d s u c h p r e m i s e s are l o c a t e d w i t h i n 1 5 0
           miles of t h e C i t y . "
           The f o c u s o f t h e f i r s t i s s u e is w h e t h e r t h e C i t y o f

B i l l i n g s is empowered to p r o h i b i t u n i n v i t e d d o o r - t o - d o o r        solici-

t a t i o n s by i t i n e r a n t vendors under t h e s t a t e l i c e n s i n g s t a t u t e or
otherwise.          T i p c o a r g u e s t h a t a s t a t u t o r y g r a n t o f power to a

m u n i c i p a l i t y to e n a c t o r d i n a n c e s " d e a l i n g w i t h " i t i n e r a n t vendors
d o e s n o t empower a c i t y t o p r o h i b i t t h e i r a c t i v i t i e s , c i t i n g
DeLong v. Downes ( 1 9 7 7 ) , 1 7 5 Mont. 1 5 2 , 5 7 3 P.2d 1 6 0 ( a s t a t u t e

a u t h o r i z i n g r e g u l a t i o n of gambling l i c e n s e s is n o t a g r a n t of
power t o p r o h i b i t a u t h o r i z e d f o r m s o f g a m b l i n g ) ; W i n t h e r v.
V i l l a g e o f Wieppe ( 1 9 6 7 ) , 9 1 I d a h o 798, 430 P.2d                 6 8 9 ( t h e power
t o r e g u l a t e a b u s i n e s s i s n o t a g r a n t o f power to p r o h i b i t i t ) ;
a n d Combined C o m m u n i c a t i o n s C o r p o r a t i o n v. C i t y and C o u n t y o f
D e n v e r ( 1 9 7 5 ) , 1 8 9 C o l o . 4 6 2 , 542 P.2d        7 9 ( t h e power to r e g u l a t e

d o e s n o t i n c l u d e t h e power t o p r o h i b i t ) ; and a r g u i n g t h a t i f t h e
l e g i s l a t u r e i n t e n d e d to g r a n t c i t i e s t h e power to p r o h i b i t t h e
a c t i v i t i e s o f i t i n e r a n t v e n d o r s , it c o u l d h a v e p l a i n l y s a i d so.

           S t a t e s t a t u t e s d e f i n e i t i n e r a n t v e n d o r s to i n c l u d e p e r s o n s
engaged i n door-to-door                s o l i c i t a t i o n s [ s e c t i o n 7-21-2301 ( 2 ) ,
MCA], p r o v i d e f o r l i c e n s i n g them [ s e c t i o n 7-21-2303,                 MCA], and

s t a t e t h a t such s t a t u t e s s h a l l n o t impair t h e r i g h t of any incor-
p o r a t e d c i t y to e n a c t o r d i n a n c e s d e a l i n g w i t h t h e l i c e n s i n g of
i t i n e r a n t vendors [ s e c t i o n 7-21-2302(2),              MCA]    .   O t h e r s t a t e sta-

t u t e s p r o v i d e t h a t "a l o c a l g o v e r n m e n t a l u n i t w i t h s e l f -
g o v e r n m e n t p o w e r s may e x e r c i s e a n y power n o t p r o h i b i t e d b y t h e

c o n s t i t u t i o n , l a w , o r c h a r t e r " and " t h e s e p o w e r s i n c l u d e b u t a r e
n o t l i m i t e d t o t h e p o w e r s g r a n t e d to g e n e r a l power g o v e r n m e n t s "
s e c t i o n 7-1-101,      MCA; and t h a t " t h e p o w e r s and a u t h o r i t y o f            a

local government u n i t w i t h s e l f -government                     p o w e r s s h a l l be

l i b e r a l l y c o n s t r u e d " and " e v e r y r e a s o n a b l e d o u b t a s t o t h e

e x i s t e n c e o f a l o c a l g o v e r n m e n t power or a u t h o r i t y s h a l l be
r e s o l v e d i n f a v o r o f t h e e x i s t e n c e o f t h a t power or a u t h o r i t y . "
S e c t i o n 7-1-106,        MCA.      T h e s e s t a t u t e s were e n a c t e d p u r s u a n t to
t h e e x p a n s i o n of t h e powers of local self-government                             p r o v i d e d by
M o n t a n a ' s 1 9 7 2 C o n s t i t u t i o n , A r t i c l e X I , S e c t i o n s 4 , 5 and 6 .

            T h u s w e f i n d no c o n f l i c t b e t w e e n s t a t e s t a t u t e s l i c e n s i n g

i t i n e r a n t v e n d o r s and t h e B i l l i n g s o r d i n a n c e p r o h i b i t i n g o n e o f
t h e i r activities--uninvited                  door-to-door           solicitations.                A

l i c e n s i n g s t a t u t e does n o t l e g a l i z e an a c t i v i t y o t h e r w i s e prohi-

bited.        S t a t e e x r e l . R e p l o g l e v. J o y l a n d C l u b ( 1 9 5 0 ) , 1 2 4 Mont.
1 2 2 , 220 P.2d 988.              S i n c e t h e C i t y of B i l l i n g s p o s s e s s e s s e l f -

g o v e r n m e n t p o w e r s i t may e x e r c i s e a n y power n o t p r o h i b i t e d b y t h e
C o n s t i t u t i o n , Law or C h a r t e r and p o s s e s s e s p o w e r s g r a n t e d to

g e n e r a l power g o v e r n m e n t , it is empowered to p r o h i b i t u n i n v i t e d

door-to-door           s o l i c i t a t i o n s by i t i n e r a n t vendors.
            The s i t u a t i o n h e r e m u s t be d i s t i n g u i s h e d from s i t u a t i o n s
i n v o l v i n g s t a t e p r e e m p t i o n o f a f i e l d o f r e g u l a t i o n as i n DeLong

v . Downes, s u p r a ; S t a t e ex r e l . C i t y o f L i b b y v . H a s w e l l ( 1 9 6 6 ) ,

1 4 7 Mont. 4 9 2 , 414 P.2d 6 5 2 ; C i t y o f B i l l i n g s v . H e r o l d ( 1 9 5 6 ) ,
1 3 0 Mont. 1 3 8 , 296 P.2d 263; and S t a t e ex r e l . W i l e y v .                          ~ i s t . t.
                                                                                                          C

( 1 9 4 5 ) , 1 1 8 Mont. 5 0 , 1 6 4 P.2d            358.       There, unlike here, the
s t a t e had p r e e m p t e d r e g u l a t i o n o f g a m b l i n g , l i q u o r c o n t r o l and
o t h e r f i e l d s t o t h e e x c l u s i o n o f m u n i c i p a l i t i e s which were p r o h i -

b i t e d from l e g i s l a t i n g i n t h o s e a r e a s .        I n t h e i n s t a n t case t h e r e
h a s b e e n no s t a t e p r e e m p t i o n or p r o h i b i t i o n .
            W e e x p r e s s l y o v e r r u l e s t a t e m e n t s i n DeLong t h a t a c o u n t y ,

c i t y or town c a n o n l y e x e r c i s e powers e x p r e s s l y c o n f e r r e d o n it
b y t h e C o n s t i t u t i o n and s t a t u t e s or a r i s i n g b y n e c e s s a r y i m p l i c a -
t i o n and t h a t a n y r e a s o n a b l e d o u b t c o n c e r n i n g s u c h p o w e r s s h o u l d
be resolved against the municipality.                               T h i s w a s the l a w under
M o n t a n a ' s 1 8 8 9 C o n s t i t u t i o n and c a s e s d e c i d e d t h e r e u n d e r .       It is

n o t t h e l a w u n d e r M o n t a n a ' s 1 9 7 2 C o n s t i t u t i o n and s t a t u t e s
enacted thereunder.
            T i p c o n e x t c o n t e n d s t h a t t h e B i l l i n g s o r d i n a n c e is i n v a l i d

b e c a u s e it c o n f l i c t s w i t h s t a t e s t a t u t e s g o v e r n i n g n u i s a n c e s .
Tipco p o i n t s o u t t h a t s e c t i o n 27-30-101(2),                       MCA,   states t h a t
n o t h i n g d o n e or m a i n t a i n e d u n d e r t h e e x p r e s s a u t h o r i t y o f a sta-

t u t e can be d e c l a r e d a n u i s a n c e .          Therefore, Tipco a r g u e s , t h e
s t a t u t e l i c e n s i n g i t i n e r a n t vendors i m p l i e d l y i n d i c a t e s t h a t
t h e i r a c t i v i t i e s i n door-to-door             s o l i c i t a t i o n s are n o t a

nuisance.

            The f a l l a c y i n T i p c o ' s a r g u m e n t is t h a t a l i c e n s i n g s t a -
t u t e does not l e g a l i z e a prohibited a c t i v i t y .                      S t a t e ex r e l .

R e p l o g l e v. J o y l a n d C l u b , s u p r a .      T h e r e is no p r e e m p t i o n by t h e
state of regulation of nuisances.                             The C i t y o f B i l l i n g s h a s
d e c l a r e d u n i n v i t e d door-to-door           s o l i c i ' t a t i o n s by i t i n e r a n t v e n d o r s

a nuisance.            The same a n a l y s i s , t h e same r e a s o n s and t h e same

r e s u l t a p p l i e s to t h i s i s s u e as t o t h e f i r s t i s s u e .               W e hold the

B i l l i n g s o r d i n a n c e v a l i d a g a i n s t t h i s a t t a c k by Tipco.

            However, w e h o l d t h a t t h e B i l l i n g s o r d i n a n c e d e n i e s T i p c o
e q u a l p r o t e c t i o n o f t h e law i n v i o l a t i o n o f F e d e r a l and S t a t e
Constitutional requirements.                         F o u r t e e n t h Amendment, S e c t i o n 1, U.

S . C o n s t i t u t i o n ; A r t i c l e 11, S e c t i o n 4 , 1 9 7 2 Montana
Constitution.              The B i l l i n g s o r d i n a n c e e x e m p t s l o c a l m e r c h a n t s

h a v i n g r e g u l a r l y e s t a b l i s h e d p l a c e s of b u s i n e s s i n t h e C i t y from

t h e p r o h i b i t i o n a g a i n s t uninvited door-to-door                     salesman.            I t pro-

h i b i t s T i p c o f r o m e n g a g i n g i n t h e p r o h i b i t e d a c t i v i t y and p e r m i t s
local m e r c h a n t s to engage i n t h e p r o h i b i t e d a c t i v i t y .                   This

c o n s t i t u t e s p a t e n t d i s c r i m i n a t i o n p r o h i b i t e d under c o n s t i t u t i o n a l
equal protection requirements.
            The B i l l i n g s o r d i n a n c e is n o t s u b j e c t to t h e " s t r i c t

s c r u t i n y " t e s t of e q u a l p r o t e c t i o n because it does not burden a
f u n d a m e n t a l r i g h t ( S t a t e v. T u r k ( N o . 81-341,              d e c i d e d March 2 5 ,
1982; S e a r l e      &   Co. v . Cohn ( 1 9 8 2 ) ,                U.S.    -1          - .Ct.
                                                                                          S                      I



       L.Ed.2d             (No.      80-644 d e c i d e d F e b r u a r y 24, 1 9 8 2 ) ; S t a n l e y v .
I l l i n o i s ( 1 9 7 2 ) , 405 U.S.        6 4 5 , 92 S . C t .     1 2 0 8 , 3 1 L.Ed.2d           551;
Dunn v . B l u m s t e i n ( 1 9 7 2 ) , 4 0 5 U.S.           330, 92 S.Ct.              995, 3 1        L.Ed.2d
274) n o r c o n s t i t u t e i n v i d i o u s d i s c r i m i n a t i o n a g a i n s t a s u s p e c t

                                                   - 6 -
c l a s s (Graham v. R i c h a r d s o n ( 1 9 7 1 ) , 4 0 3 U.S.              365, 9 1 S.Ct.              1848,
29 L.Ed.2d         534; Loving v. V i r g i n i a ( 1 9 6 7 ) r 388 U.S.                    1,     87 S.Ct.

1 8 1 7 , 1 8 L.Ed.2d         1010).
                   The " r a t i o n a l r e l a t i o n s h i p " t e s t d e t e r m i n e s w h e t h e r
t h e B i l l i n g s ordinance s a t i s f i e s equal protection requirements,

i.e.     is t h e p r o h i b i t i o n a g a i n s t uninvited door-to-door                     solicita-
t i o n by T i p c o and t h e p e r m i s s i o n f o r l o c a l m e r c h a n t s t o e n g a g e i n

t h e same a c t i v i t y r a t i o n a l l y r e l a t e d to t h e a c h i e v e m e n t o f a

l e g i t i m a t e governmental o b j e c t i v e ?
            W e h o l d it i s n o t .           The o n l y r a t i o n a l r e l a t i o n s h i p t h a t
h a s b e e n s u g g e s t e d is t h a t t h e C i t y c a n e x e r c i s e c o n t r o l o v e r
l o c a l m e r c h a n t s and t h e i r u n i n v i t e d d o o r - t o - d o o r    solicitations
b u t cannot e x e r c i s e such c o n t r o l over out-of-state                         f i r m s and
t h e i r solicitors.            T h i s a r g u m e n t i s d i f f i c u l t to f o l l o w as t h e

o r d i n a n c e p e r m i t s l o c a l m e r c h a n t s to engage i n t h e p r o h i b i t e d
activity.          Under s u c h c i r c u m s t a n c e s w h e r e is t h e c o n t r o l ?              This
argument a d d i t i o n a l l y l o s e s its v i t a l i t y because state l i c e n s i n g

s t a t u t e s , e q u a l l y a p p l i c a b l e to l o c a l m e r c h a n t s and o u t - o f - s t a t e
f i r m s , r e q u i r e p o s t i n g a bond o f $250 a s a c o n d i t i o n o f l i c e n s i n g

to p r o t e c t customers.             S e c t i o n 7-21-2306,          MCA.

            A c l a s s i f i c a t i o n t h a t is p a t e n t l y a r b i t r a r y and b e a r s no

r a t i o n a l r e l a t i o n s h i p to a l e g i t i m a t e g o v e r n m e n t a l i n t e r e s t
o f f e n d s e q u a l p r o t e c t i o n o f t h e laws.          Frontierov.          Richardson

( 1 9 7 3 ) , 4 1 1 U.S.      677, 93 S.Ct.             1 7 6 4 , 3 6 L.Ed.2d         583; S i g e t y v .
S t a t e Board o f H e a l t h ( 1 9 7 1 ) , 1 5 7 Mont. 4 8 , 482 P.2d                     574.          A s we

h a v e p r e v i o u s l y h e l d , e q u a l p r o t e c t i o n o f t h e laws r e q u i r e s t h a t

a l l p e r s o n s be t r e a t e d a l i k e u n d e r l i k e c i r c u m s t a n c e s .      Billings
A s s o c i a t e d Plumbing, Heating               &   C o o l i n g C o n t r a c t o r s v. S t a t e Board
o f Plumbers ( 1 9 7 9 ) ,                Mont.            ,   6 0 2 P.2d 5 9 7 , 36 S t . R e p .          1996.
Here u n i n v i t e d d o o r - t o - d o o r    s o l i c i t o r s o f l o c a l m e r c h a n t s a r e no
less a n u i s a n c e t h a n t h o s e of n o n l o c a l f i r m s .           Thus, t h e c l a s s i -
f i c a t i o n is a r b i t r a r y and o f f e n d s t h e e q u a l p r o t e c t i o n c l a u s e of
b o t h F e d e r a l and Montana C o n s t i t u t i o n s .

           The r e m a i n i n g f e d e r a l c o n s t i t u t i o n a l a t t a c k s a r e

f o r e c l o s e d b y t h e U n i t e d S t a t e s Supreme C o u r t d e c i s i o n i n B r e a r d

v . C i t y o f A l e x a n d r i a ( 1 9 5 1 ) , 3 4 1 U.S.      622, 7 1 S.Ct.          920,

L.Ed         .    I n t h a t case a G r e e n R i v e r t y p e o r d i n a n c e l i k e t h a t o f

B i l l i n g s ( m i n u s t h e e x e m p t i o n f o r local m e r c h a n t s ) was h e l d n o t

t o v i o l a t e t h e F e d e r a l Commerce c l a u s e , t h e F i r s t Amendment r i g h t
o f f r e e s p e e c h , and t h e d u e p r o c e s s c l a u s e o f t h e F o u r t e e n t h

Amendment.         W e f i n d n o r e a s o n to h o l d o t h e r w i s e u n d e r M o n t a n a ' s

c o n s t i t u t i o n a l freedom of speech g u a r a n t e e ( A r t .          11, S e c . 7 ,    1972

Montana C o n s t i t u t i o n ) o r M o n t a n a ' s d u e p r o c e s s c l a u s e ( A r t .    11,

S e c . 1 7 , 1 9 7 2 Montana C o n s t i t u t i o n ) .       Montana's C o n s t i t u t i o n ,

u n l i k e t h e F e d e r a l C o n s t i t u t i o n , c o n t a i n s no commerce c l a u s e .

           I n summary, w e h o l d B i l l i n g s O r d i n a n c e 5 . 2 0 . 0 5 0        and

5.20.060      u n c o n s t i t u t i o n a l under t h e equal p r o t e c t i o n p r o v i s i o n s

o f t h e U n i t e d S t a t e s and Montana C o n s t i t u t i o n s .          S i n c e we have no

way o f knowing w h e t h e r t h e C i t y o f B i l l i n g s would e n a c t t h e o r d i -

nance w i t h o u t t h e u n c o n s t i t u t i o n a l exemption contained i n

5.20.060,        w e s t r i k e b o t h 5.20.050        and 5 . 2 0 . 0 6 0    leaving t h a t

determination t o the City.

           The j u d g m e n t o f t h e D i s t r i c t C o u r t is r e v e r s e d i n a c c o r d -

ance with t h i s opinion.




                                                Chief J u s t i c e