The U.S. Supreme Court case Liberty Warehouse Company et al. v. Grannis, Commonwealth Attorney in 1926 revolved around the constitutionality of a Kentucky statute that regulated and taxed tobacco warehouses and sales within the state. The plaintiffs, warehouse companies operating in Kentucky, argued that this law violated their rights under the Fourteenth Amendment's due process clause as well as interfered with interstate commerce protected by Article I of the Constitution. However, after deliberation, the Supreme Court upheld the validity of this legislation stating it was not unconstitutional to regulate or tax businesses operating within a state’s borders for public welfare purposes such as preventing fraud or deception in trade practices which were common issues at tobacco auctions during that time period. Furthermore, they ruled there was no undue burden on interstate commerce because these regulations applied equally to all transactions whether they involved local or out-of-state buyers/sellers; thus maintaining fair competition among all parties involved without favoring any particular group over another.

The dissenting opinion in the case of Liberty Warehouse Company et al. v. Grannis, Commonwealth Attorney, argued that the Kentucky statute at issue did not violate the Fourteenth Amendment's due process clause as it was within a state's power to regulate businesses for public welfare and safety reasons. The justice disagreed with the majority view that this law interfered with interstate commerce or deprived property without due process of law because it merely required tobacco warehouses to obtain licenses and adhere to certain regulations regarding their operations. He believed these requirements were reasonable exercises of police power aimed at preventing fraud and protecting consumers' interests rather than arbitrary restrictions on business rights or trade activities.