In the 1891 case of Henderson Bridge Company v. Henderson City, the U.S Supreme Court ruled in favor of the bridge company. The city of Henderson had imposed a tax on the company's bridge that crossed over Ohio River between Kentucky and Indiana, arguing it was within their jurisdiction as part of its property lay within city limits. However, this was contested by the bridge company who argued that they were exempt from local taxation due to an act passed by Congress which authorized them to construct and maintain said bridge. The court held that while states have power to tax all property within their limits including those used for interstate commerce, this power is subject to control by Congress when it comes to regulating commerce among states. Therefore since there was a Congressional Act involved granting certain privileges and immunities regarding interstate commerce (the construction & maintenance), these could not be impaired through state taxation or regulation without consent from Congress.

In the dissenting opinion for Henderson Bridge Company v. Henderson City, the justice argued that the city of Henderson had no right to tax a bridge owned by a private company and used for interstate commerce. The justice believed this taxation was in violation of federal law which prohibits states from interfering with interstate commerce. He also pointed out that when Congress granted permission to build the bridge, it did not give any indication that it intended for state or local governments to have taxing authority over such structures. Therefore, he concluded that allowing such taxation would be contrary to both federal law and Congressional intent.