In the 1956 case of Guss v. Utah Labor Relations Board, the Supreme Court ruled in favor of Guss, doing business as Photo Sound Products Manufacturing Co., stating that state labor boards do not have jurisdiction over labor disputes involving businesses engaged in interstate commerce. The dispute arose when a local union filed an unfair practice charge against Guss with the Utah Labor Relations Board (ULRB). The ULRB issued a cease and desist order against Guss after finding him guilty of violating state law by refusing to bargain collectively with his employees' representative. However, on appeal to the Supreme Court, it was determined that since more than half of Gus's products were shipped out-of-state and he purchased substantial materials from other states for manufacturing purposes; thus engaging in interstate commerce which is under federal jurisdiction according to National Labor Relations Act (NLRA). Therefore, only National Labor Relation Board has authority over such matters rather than individual state boards like ULRB.

The dissenting opinion in the case of Guss v. Utah Labor Relations Board argued that the Supreme Court should not have taken jurisdiction over this case, as it was a matter for state courts to decide. The dissenters believed that the majority's decision effectively nullified an important provision of the National Labor Relations Act (NLRA), which allows states to regulate labor disputes involving businesses whose activities do not substantially affect interstate commerce. They contended that by taking jurisdiction and ruling against Guss, who operated a small business within one state, they were expanding federal power at the expense of states' rights and undermining Congress's intent when it passed NLRA. Furthermore, they disagreed with how broadly 'affecting commerce' was interpreted in this context.