In the case of Federal Trade Commission v. Travelers Health Association, the Supreme Court ruled in favor of the Federal Trade Commission (FTC). The FTC had charged that Travelers Health Association was engaged in deceptive practices by selling "travel tickets" which were essentially insurance policies without meeting necessary regulatory requirements for selling insurance. These travel tickets promised to pay benefits if purchasers experienced certain accidents while traveling but did not clearly disclose significant limitations and exclusions. The court held that these activities fell within its jurisdiction as they constituted unfair or deceptive acts affecting commerce, rejecting arguments from Travelers Health Association that it was only subject to state regulation because it was an insurance company. This decision affirmed the role of federal agencies like FTC in regulating business practices even when those businesses might also be regulated at a state level.

In the dissenting opinion for Federal Trade Commission v. Travelers Health Association, it was argued that the majority's decision to classify Travelers Health Association as engaged in commerce rather than insurance was incorrect. The dissenting justices believed that this classification ignored both the nature of the company's business and its impact on interstate commerce. They pointed out that all of its operations were conducted within one state and thus should not be subject to federal regulation under the Commerce Clause. Furthermore, they disagreed with applying a broad interpretation of "commerce" which would allow almost any activity to fall under federal jurisdiction if it had even a remote connection to trade between states or foreign nations. This expansive view threatened state sovereignty over local matters and could lead to an unlimited expansion of federal power at expense of individual rights protected by Constitution.