In the case of Linmark Associates, Inc. v. Township of Willingboro, the U.S Supreme Court ruled that a local ordinance prohibiting "For Sale" signs on residential lawns was unconstitutional as it violated the First Amendment's guarantee of freedom of speech. The Township in New Jersey had enacted this ordinance to prevent white flight and maintain racial balance within its community after noticing an increase in African American families moving into predominantly white neighborhoods. However, Linmark Associates and other real estate firms challenged this rule arguing that it infringed upon their right to communicate freely with potential buyers about available properties for sale. In a 6-3 decision favoring Linmark Associates, the court held that while maintaining racial balance is indeed a commendable goal, suppressing free communication through such ordinances is not an acceptable means to achieve it.

In the dissenting opinion for Linmark Associates, Inc. v. Township of Willingboro et al., Justice Rehnquist argued that the majority's decision failed to consider adequately the unique circumstances and interests of local communities in maintaining stable, racially integrated neighborhoods. He contended that while free speech is a fundamental right, it should not be absolute when weighed against other significant societal values such as racial integration and harmony. The ordinance was enacted by elected officials who were responding to legitimate concerns about rapid changes in neighborhood composition leading to white flight and segregation - issues which he believed deserved more deference from the court than they received in this case. Furthermore, he disagreed with the majority's view on commercial speech protection under First Amendment rights; arguing instead that real estate signs are primarily transactional instruments rather than vehicles for discussion or debate on public issues.