The U.S. Supreme Court case, In the Matter of Petition of East River Towing Co., Inc., for Limitation of Liability of the Steamtug Edward, Her Engines, Etc., revolved around a maritime accident involving two vessels - one owned by East River Towing Company and another owned by The Barge Corporation. After an accident between these two ships in New York Harbor resulted in significant damage to both vessels and their cargo, each company sought damages from the other. However, East River Towing filed a petition under federal law seeking to limit its liability based on the post-accident value of its vessel (the Steamtug Edward), which was significantly less than the claimed damages. The court ruled that while ship owners can limit their liability under certain circumstances as per maritime law; they cannot do so if it is proven that they had privity or knowledge about any negligence leading to such accidents beforehand.

The dissenting opinion in the case of East River Towing Co., Inc. argued that the majority's interpretation of maritime law was overly broad and not consistent with historical precedent or legislative intent. The dissent took issue with the majority's decision to limit liability for a steamtug, arguing that this protection should only apply to seagoing vessels engaged in traditional maritime commerce, not inland waterway towing operations like those conducted by East River Towing Co., Inc. They contended that such an expansive reading of limitation laws could lead to unjust results and potentially undermine public confidence in maritime law. Furthermore, they expressed concern about potential negative impacts on victims seeking compensation for damages caused by negligent operators if these operators were allowed to limit their liability under such circumstances.