In Hannibal and St. Joseph Railroad Company v. Missouri River Packet Company, the Supreme Court was asked to decide whether a state court had the authority to grant an injunction against a federal corporation. The case arose when the Missouri River Packet Company, a federal corporation, was sued by the Hannibal and St. Joseph Railroad Company for operating a steamboat on the Missouri River in violation of a state law. The state court granted an injunction against the Packet Company, and the Packet Company appealed to the Supreme Court. The Supreme Court held that the state court had the authority to grant the injunction. The Court reasoned that the state law was valid and that the Packet Company was subject to the jurisdiction of the state court. The Court also noted that the federal government had not preempted the field of river navigation, and that the state law was not in conflict with any federal law. The Court concluded that the state court had the authority to grant the injunction, and that the Packet Company was bound by the decision of the state court. The Court also noted that the state court had the power to enforce its decision, and that the Packet Company was not exempt from the jurisdiction of the state court.

Justice Field delivered the dissenting opinion in this case. He argued that the majority's decision was based on a misapplication of law and an incorrect interpretation of facts. The issue before the Court was whether or not Hannibal and St. Joseph Railroad Company had exclusive rights to operate steamboats between two points on the Missouri River, as granted by Congress in 1852. Justice Field disagreed with the majority's conclusion that such rights were limited to railroads only, noting that nothing in either statute or legislative history indicated any such limitation existed. Furthermore, he noted that prior court decisions had held similar grants of authority extended beyond just railroads, including those involving canals and turnpikes as well as other modes of transportation like steamboats. Thus, Justice Field concluded it would be improper for this Court to limit these congressional grants solely to railroad companies when there is no evidence indicating Congress intended such a result at all.