In the case of Great Northern Railway Company v. O'Connor in 1913, the U.S Supreme Court ruled in favor of Great Northern Railway Company. The dispute arose when O’Connor sued for damages after a railway accident that resulted from alleged negligence on part of the company's employees. However, it was found that at the time of his injury, he was riding as a gratuitous passenger and not as an employee or fare-paying passenger which would have entitled him to certain protections under law. The court held that since Mr. O'Connor had no contractual relation with the railroad company regarding transportation services at this particular instance, he could not claim damages based on any supposed breach by them failing to provide safe carriage due to their own negligence or misconduct.

In the dissenting opinion for Great Northern Railway Company v. O'Connor, Justice Holmes argued that the plaintiff should not be allowed to recover damages because he had willingly assumed the risk associated with his employment. He contended that it was common knowledge among railway workers that coupling cars could be dangerous and therefore, by accepting his job, O’Connor implicitly accepted this inherent risk. Furthermore, Holmes pointed out there were no allegations of negligence on part of the employer in providing safe working conditions or equipment. Thus, according to him, if an employee knowingly accepts a risky job without any coercion or misrepresentation from their employer about its dangers then they should bear responsibility for any resulting injuries rather than being able to sue their employers for compensation.