In Eubank v. City of Richmond, the U.S. Supreme Court ruled that a city ordinance in Richmond, Virginia was unconstitutional because it violated property rights protected by the Fourteenth Amendment's Due Process Clause. The ordinance allowed two-thirds of property owners on any given block to establish a building line up to 30 feet from the street and required all other buildings on that block to conform with this line or face penalties for non-compliance. The court held that such an ordinance improperly delegated legislative power to private individuals who could use it arbitrarily and unreasonably without regard for public welfare or individual rights. This decision set important precedent regarding limits on local government authority and protection of private property rights under constitutional law.

In the dissenting opinion for Eubank v. City of Richmond, Justice Holmes argued that the ordinance in question did not violate due process rights under the Fourteenth Amendment. He contended that it was within a city's power to regulate building lines on public streets for aesthetic or safety reasons and this authority could be delegated to property owners who would be directly affected by such regulations. According to him, there was no arbitrary delegation of power as claimed by the majority because decisions made by property owners were subject to approval from municipal authorities before they became effective. Therefore, he believed that any potential abuse of this system could be checked through administrative oversight and judicial review if necessary.