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In the case of United States v. The Late Corporation of the Church of Jesus Christ of Latter-day Saints, 1893, the U.S. Supreme Court ruled that Congress had constitutional authority to seize property from a religious organization if it was being used for illegal activities. This decision came about after Congress passed laws outlawing polygamy in territories and subsequently dissolved the Mormon Church's corporate entity due to its practice and promotion of polygamy, seizing its assets exceeding $50,000 in value. The church challenged this action as unconstitutional under First Amendment protections for freedom of religion but lost both at trial court level and on appeal before reaching Supreme Court review. In their ruling, justices held that while individuals have rights to believe what they choose without interference from government (including beliefs promoting polygamy), when those beliefs lead into practices inconsistent with peace or safety within society or contrary to law such as bigamous marriages then government has right to intervene even if intervention impacts upon a religious institution.
In the dissenting opinion for United States v. The Late Corporation of the Church of Jesus Christ of Latterday Saints, Justice Field disagreed with the majority's ruling that allowed Congress to seize property from a religious organization due to its practice of polygamy. He argued that this decision violated constitutional protections on freedom and property rights. While he acknowledged that Congress could outlaw polygamy, he believed it did not have authority to penalize an entire community by confiscating their properties without compensation or due process. This action was seen as punitive rather than regulatory in nature, which went beyond Congressional powers according to him. Furthermore, Field expressed concerns about setting a precedent where government can infringe upon individual liberties and seize private assets based on moral judgments about certain practices or beliefs.