The Supreme Court case In re Metropolitan Trust Company of the City of New York in 1910 revolved around a dispute over bankruptcy proceedings. The Metropolitan Trust Company had been declared bankrupt and its assets were being distributed among its creditors. However, one creditor, the United States government, claimed that it should be given priority over other creditors due to unpaid taxes owed by the company. Other creditors disputed this claim, arguing that they should receive equal shares of the remaining assets. The Supreme Court ruled in favor of the U.S government stating that under federal law (Revised Statutes §3466), when a debtor corporation goes into bankruptcy or insolvency proceedings, any claims held by the United States for unpaid taxes are to be prioritized above all others except expenses related to preserving estate property and costs associated with administration.

The dissenting opinion in the case of In re Metropolitan Trust Company of the City of New York argued that the majority's decision was a departure from established principles and precedent. The dissenters believed that, under existing law, it should be possible for creditors to pursue their claims against insolvent corporations without having to first obtain permission from a court-appointed receiver. They contended that this right was not extinguished by the appointment of such a receiver or by any subsequent proceedings related to winding up the corporation's affairs. Furthermore, they disagreed with the majority's interpretation of certain provisions in bankruptcy laws as barring individual creditor actions without prior court approval. Instead, they viewed these provisions as merely establishing procedures for orderly liquidation and distribution among all creditors rather than granting exclusive jurisdiction over all corporate assets to receivers or courts overseeing insolvency proceedings.