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Read and review the following fact pattern, and then answer the question presented using the IRAC System: The California Domestic Beer Act (CDBA) is a

Read and review the following fact pattern, and then answer the question presented using the IRAC System:

The California Domestic Beer Act ("CDBA") is a statutory law that was enacted by the California legislature and signed by the Governor and is currently in full force in the State of California. The CDBA provides that any beer sold in California that has an alcohol content of more that 3% must be labeled as "Ale" and cannot have the word "beer" on any part of the can, bottle or other packaging. Moreover, the CDBA requires that all Ales have a separate label on the can or bottle that is at least 2 inches wide and 3 inches high that states "THIS ALE PRODUCT CONTAINS MORE THAN 3% ALCOHOL AND CAN BE DANGEROUS TO YOUR HEALTH." The California legislature also included a provision in the CDBA so that the CDBA only applies to alcohol products being imported into the State of California and it does not apply to alcohol products that are distilled and bottled solely within the State of California and either sold within the State of California or exported out of the State of California.

The Big Bucks Brewing Company is a large corporation that makes, bottles and sells beer and related products throughout the United States. Its sales of beer exceed 4 billion dollars. It makes and bottles its beer in Colorado, where taxes are lower and water for its brewing operations are accessible. It then ships its beer into California and other States. The Big Bucks Brewing Company is obviously concerned about the CDBA because it will increase the costs of its beer - mainly,it will have to create a new label to put on its cans of beer that is specifically made just for its alcohol products sold in California. Moreover, the Big Bucks Brewing Company is concerned that having to label its normal beer products as "Ale" will cause major confusion with consumers; and this will cause its sales to decrease as more people buy California beer.

The Big Bucks Brewing Company has filed suit in Federal Court, claiming that the CDBA violates the US Constitution because the United States Congress has the right to regulate interstate commerce under the Commerce Clause of the US Constitution. In response, the State of California contends that the CDBA is constitutional because Congress has not enacted any laws regarding the specific labeling and related requirements covered by the CDBA and the State of California has the right to regulate such matters under its reserved "police powers." The Big Bucks Brewing Company disputes these claims and has noted that not only will the CDBA cost it thousand of dollars in extra labeling costs, it will affect all other beer producers that import beer into California and thus the CDBA will have a significant impact on hundreds of businesses. In fact, the Big Bucks Brewing Company has stated that if the CDBA is upheld as being constitutional, it will stop selling beer in California and this will require it to lay-off about 1,000 workers in its Colorado manufacturing plant because of the loss of sales.

Using the IRAC system, please explain why you think the CDBA is or is not constitutional - please keep in mind that I am more concerned with your analysis of the matter, rather than your ultimate conclusion. Also, in support of your position, you may add or assume facts (provided you state those added or assumed facts), but you may not delete the specific facts presented in the fact pattern.

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