The U.S. Supreme Court case First National Bank of Canton, Pennsylvania v. Williams, Comptroller of the Currency in 1919 revolved around a dispute between the bank and John Skelton Williams, who was serving as the Comptroller of the Currency at that time. The bank challenged an assessment made by Mr. Williams for its proportionate share to cover losses incurred by other national banks which had failed during this period. The court ruled in favor of Mr.Williams stating that he acted within his authority under federal law when making such assessments on solvent national banks to cover losses from insolvent ones; thus upholding his decision regarding these charges against First National Bank of Canton.

In the dissenting opinion of the case First National Bank of Canton, Pennsylvania v. Williams, Comptroller of the Currency (1919), it was argued that a national bank should not be allowed to convert into a state bank without first paying off its outstanding debts. The dissenting justices believed this would unfairly disadvantage creditors who had lent money to the institution under federal regulations and protections. They contended that allowing such conversion could potentially undermine confidence in national banks as reliable debtors and destabilize financial markets by introducing uncertainty about whether obligations will be honored following conversions. Furthermore, they disagreed with majority's interpretation of relevant statutes which permitted such conversions without requiring prior settlement of liabilities; instead arguing for an interpretation that prioritized protection for creditors' rights over facilitating institutional transitions between banking systems.