FEDERAL COURTS - REMOVAL OF CAUSES - ACTION BY STATE TAX COLLECTOR AGAINST NATIONAL BANK TO RECOVER TAXES - FEDERAL QUESTION

The state of Mississippi passed a statute imposing a tax upon national banks, under authority of a federal statute permitting such legislation. The state assessed the tax upon defendant's predecessor, and defendant, in taking over its predecessor's assets, undertook to pay all of its obligations, including taxes due. The state tax collector started suit on the contract in the state court, but upon defendant's application the cause was removed to the federal district court. On appeal it was held the case did not arise under the laws of the United States within the meaning of the removal statute because it was essentially an action on a state statute involving questions of local law, and because the possibility that a federal question would arise was too remote and conjectural to serve as a basis for original jurisdiction.

Gully v. First Nat. Bank in Meridian, 299 U.S. 109, 57 S. Ct. 96 (1936).