Gnerich v. Rutter, 265 U.S. 388 (1924)

Gnerich v. Rutter

No. 79

Argued March 10, 1924
Decided June 2, 1924
265 U.S. 388

APPEAL FROM THE CIRCUIT COURT OF APPEAL

FOR THE NINTH CIRCUIT

Syllabus

1. The "Prohibition Commissioner" and "Prohibition Director," are no more than mere agent and subordinate of the Commissioner of Internal Revenue, provided for and designated under regulation adopted by him pursuant to the National Prohibition Act. P. 391.

2. Pharmacists sued to restrain a local prohibition director from refusing them permits to buy liquors to be dispensed for nonbeverage purposes in excess of a limit fixed in their permit to sell as issued by the Prohibition Commissioner, the plaintiffs denying the legality of the restriction even if authorized by regulations of the Commissioner of Internal Revenue. Held that the Commissioner of Internal Revenue was a necessary party. Id.

3. A bill which is defective for want of a necessary party should be dismissed on that ground, and not upon the merits. P. 393.

277 F. 632 reversed.

Appeal from a decree of the circuit court of appeals which affirmed a decree of the district court dismissing a bill brought to restrain a "prohibition director" from giving effect to a restriction contained in the plaintiffs’ permit to sell intoxicating liquors.