The U.S. Supreme Court case Chicago & Northwestern Railway Company v. Alvin R. Durham Company et al., 1925, revolved around a dispute between the railway company and several grain dealers over freight charges for shipments of corn from Iowa to Illinois. The grain dealers argued that the rates charged by the railway were unreasonable and discriminatory, violating both state law and federal Interstate Commerce Act provisions against unjust or preferential treatment in transportation services provided by common carriers like railroads. The court ruled in favor of the railroad company, finding no evidence of discrimination as all shippers were subject to same rate schedule based on distance traveled rather than specific destinations within states. Furthermore, it held that any potential conflict between state laws regulating intrastate commerce (commerce occurring within one state) and federal laws governing interstate commerce (commerce crossing state lines) must be resolved in favor of federal authority under Supremacy Clause of U.S Constitution which gives precedence to national law when there is a conflict with state law.

The dissenting opinion in the case of Chicago & Northwestern Railway Company v. Alvin R. Durham Company et al., argued that the majority had erred in their interpretation of the Interstate Commerce Act and its application to this case. The dissent contended that, under a proper reading of the act, it was clear that railroads were required to provide reasonable facilities for receiving and forwarding freight without discrimination or undue preference between shippers. In this instance, they believed there was evidence suggesting an unjust preference given by Chicago & Northwestern Railway Company towards certain shippers over others - specifically favoring those who owned private sidetracks while disadvantaging those who did not have such access like Alvin R. Durham Co.. They also disagreed with how damages were calculated by lower courts which didn't fully account for losses suffered due to discriminatory practices by railway company.