In the 1893 case of In re Parsons, Petitioner, the U.S. Supreme Court dealt with a dispute over land ownership in Alabama. The petitioner, Parsons, claimed that he had purchased lands from Native American tribes and therefore held rightful title to them. However, these purchases were made without federal approval which was required by law at that time for any transactions involving tribal lands. The state of Alabama also laid claim to these same lands based on various treaties it had signed with different tribes over several years. The court ruled against Parsons stating that his purchases were invalid because they lacked necessary federal approval as per the Indian Nonintercourse Act (1790). This act clearly stated that only Congress could approve such transactions between individuals and Native American tribes. Therefore, despite having paid for and occupied those lands for many years before this legal challenge arose; Parsons' claims were dismissed by the court favoring Alabama's rights to those disputed territories instead.

In the dissenting opinion for the case In re Parsons, 1893, Justice Brewer argued that a state's power to regulate commerce should not infringe upon individual rights. He believed that while states have the authority to control and manage their internal affairs, they do not possess unlimited power over private businesses or individuals' property. According to him, such an exercise of power would be equivalent to despotism. The justice also contended that if a business is lawful and conducted in a legal manner without causing harm or danger to others, then it should be free from unnecessary interference by the state. He further stated his belief in upholding constitutional principles which protect citizens against arbitrary exercises of legislative powers by states.