In the case of Maryland and Virginia Milk Producers Association, Inc. v. United States in 1959, the Supreme Court ruled on whether or not a milk producers' cooperative could be prosecuted under antitrust laws for fixing prices among its members. The court held that agricultural cooperatives were exempt from such prosecution under the Capper-Volstead Act of 1922, which allowed farmers to collectively process, prepare for market, handle and market their products without violating anti-trust laws. However, this exemption did not extend to practices involving predatory intent or aimed at monopolizing trade; it was meant only to protect legitimate collective bargaining activities by farmers who would otherwise have little power against larger corporate entities in negotiating terms of sale.

In the dissenting opinion for Maryland and Virginia Milk Producers Association, Inc., v. United States, Justice Brennan argued that the Court's decision to uphold a cease-and-desist order issued by the Federal Trade Commission (FTC) against a milk producers' cooperative was incorrect. He believed that this ruling would have significant implications on other agricultural cooperatives as well. The FTC had accused the cooperative of using unfair methods of competition in violation of Section 5 of the Federal Trade Commission Act because it paid its members more than non-members for their milk products. However, Justice Brennan contended that such practices were not inherently anti-competitive or illegal under antitrust laws; rather they were common among cooperatives and even encouraged by federal policy to help small farmers compete with larger corporations. Therefore, he disagreed with majority’s interpretation which could potentially harm these farmer-owned organizations.