In the case of A/S J. Ludwig Mowinckels Rederi et al. v. Isbrandtsen Co., Inc. et al., 1951, the U.S Supreme Court ruled in favor of Isbrandtsen Co., Inc, a shipping company that had chartered a ship from Norwegian firm A/S J.Ludwig Mowinckels Rederi during World War II and was subsequently sued for damages to the vessel caused by war-related risks such as mines and torpedoes. The court held that under maritime law, unless explicitly stated otherwise in the charter party agreement (the contract between ship owner and charterer), it is assumed that all war-related risks are borne by the shipowner rather than the charterer - even if these were not foreseeable at time of signing due to neutrality or other factors - because they relate directly to navigation and management which remain within control/responsibility of owner throughout duration of lease.

In the dissenting opinion for A/S J. Ludwig Mowinckels Rederi et al. v. Isbrandtsen Co., Inc. et al., Justice Jackson disagreed with the majority's decision to apply American antitrust laws to foreign conduct that had an effect on U.S commerce, arguing it was a dangerous extension of jurisdiction and could lead to international conflict. He believed that such application should be limited only when Congress explicitly states so in legislation, which was not done here. Furthermore, he argued that even if there were explicit congressional intent, applying domestic law internationally would violate principles of comity among nations and potentially infringe upon their sovereignty unless there is a clear international consensus or treaty agreement supporting such action.