Edmunds-Tucker Act provisions authorizing disincorporation of LDS Church upheld in U.S. v. Church of Jesus Christ of Latter-Day Saints. 5 Utah 361, 15 P. 473 (Utah.Terr. 1887). Appeal from the Supreme Court of the Utah Territory
Holding
Congress has supreme authority over territories, including power to dissolve the LDS Church's corporation and seize its property. Under parens patriae principles, Congress may redirect assets to charitable purposes within Utah Territory. Property was properly not transferred to church members because they were using it to further the outlawed practice of polygamy.
The ruling in Late Corporation would have directed federal escheat of substantially all the property of the legally disincorporated LDS Church, which was estimated at $3 million. Following the decision, the U.S. Attorney for The Utah Territory reported seizing only $381,812 in assets.[2]Real property, including LDS temples, was never seized, although the ruling authorized it. Within five months, the LDS Church officially discontinued the practice of plural marriage with the 1890 Manifesto. On October 25, 1893, a congressional resolution authorized the release of assets seized from the LDS Church because, "said church has discontinued the practice of polygamy and no longer encourages or gives countenance to any manner of practices in violation of law, or contrary to good morals or public policy."[3]
Chief Justice Fuller's dissent asserted that though Congress has the power to criminalize polygamy, "it is not authorized under the cover of that power to seize and confiscate the property of persons, individuals, or corporations, without office found, because they may have been guilty of criminal practices."[4]
^Rothera, Evan (March 2016). "The Tenacious "Twin Relic": Republicans, Polygamy, and The Late Corporation of the Church of Jesus Christ of Latter-Day Saints v. United States". Journal of Supreme Court History. 41: 21–38. doi:10.1111/jsch.12091. S2CID148549941.
^Paul G. Kauper & Stephen C. Ellis, "Religious Corporations and the Law," 71 Mich. L. Rev. (1972–1973), 1499, 1517. This figure includes seized stock and cash in bank accounts as well as $10,000 "credits due on sheep."