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DOMINION NAT. BANK v. OLSEN

No. 83-5803.

771 F.2d 108 (1985)

DOMINION NATIONAL BANK, et al. Plaintiffs-Appellees, v. Martha B. OLSEN, et al., Defendants-Appellants.

United States Court of Appeals, Sixth Circuit.

Decided August 20, 1985.

Attorney(s) appearing for the Case

William M. Leech, Jr., Atty. Gen. of Tennessee, Nashville, Tennessee 37219 (615/741-3491; 741-2968) Charles L. Lewis, argued, Gregory L. Nelson, Nashville, Tenn., for defendants-appellants.

Robert L. Crossley, argued, Ralph E. Tallant, Jr., Baker, Worthington, Crossley, Stansberry & Woolf, Knoxville, Tenn., for plaintiffs-appellees.

Before EDWARDS and CONTIE, Circuit Judges, and BELL, District Judge.

GEORGE CLIFTON EDWARDS, Jr., Circuit Judge.

Defendants in this case appeal from an injunction issued by Judge Clure Morton against the State of Tennessee forbidding the state from enforcing Tennessee Code Annotated § 67-2601(b). This statute had the effect of levying a state tax on the earnings from certificates of deposits issued by out-of-state financial institutions but owned by residents of the State of Tennessee. The statute provides as follows:

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