The U.S. Supreme Court case Federal Power Commission et al. v. Natural Gas Pipeline Co. et al., 1941, revolved around the question of whether or not the Federal Power Commission (FPC) had jurisdiction over sales for resale of natural gas in interstate commerce under the Natural Gas Act of 1938 and if it could regulate rates charged by a pipeline company that was both producing and selling gas across state lines. The court ruled in favor of FPC, asserting its authority to regulate such transactions as they were deemed "sales for resale" which fell within federal purview according to the act's provisions. The decision also clarified that even though some aspects like production or gathering may be exempt from regulation, once a company engages in interstate transmission and sale for resale activities, all related operations become subject to regulatory oversight. This ruling significantly expanded FPC’s power over natural gas companies operating across state lines while simultaneously setting important precedents regarding federal-state jurisdictional boundaries concerning energy resources.

In the dissenting opinion for Federal Power Commission v. Natural Gas Pipeline Co., it was argued that the majority had overstepped its bounds by interpreting the Natural Gas Act in a way that gave too much power to federal agencies, specifically the Federal Power Commission (FPC). The dissenters believed this interpretation went beyond what Congress intended when they passed the act. They contended that while Congress did intend for some regulation of natural gas companies, it did not mean for such extensive control as granted by FPC's interpretation of their powers under Section 5(a) of the Act. Furthermore, they expressed concern about potential negative impacts on private businesses and state rights due to excessive federal intervention. In essence, they felt there should be a balance between necessary regulation and preserving free enterprise without undue government interference.