Final answer:
The power of judicial review was asserted by the Supreme Court in the case Marbury v. Madison in 1803, establishing the court's ability to invalidate unconstitutional legislative and executive actions. This power is not explicitly stated in Article III of the Constitution but was recognized through the court's interpretation in this landmark case.
Step-by-step explanation:
The power of judicial review was asserted by the court in the case Marbury v. Madison. This landmark decision in 1803 established the precedent by which the Supreme Court could declare legislation, as well as actions taken by the executive branch, unconstitutional. Article III of the Constitution establishes the judicial system but does not explicitly mention judicial review. It was through Chief Justice John Marshall's interpretation in Marbury v. Madison that the power was articulated, effectively strengthening the judiciary by enabling it to serve as a check on the other branches of government and ensuring the supremacy of the Constitution over any conflicting legislation.
It's important to note that although the Federal Judiciary Act of 1789 did outline various aspects of court power, it was the Supreme Court's ruling in Marbury v. Madison that unequivocally cemented the power of judicial review. Also, the assertion that President Lincoln ceded power to the courts is unrelated to the establishment of judicial review, as this power was understood and utilized well before the Civil War.