This Supreme Court case involved James J. M'Lanahan, Wilhelmus Bogart, and John Joseph Coiron (plaintiffs in error) suing the Universal Insurance Company (defendants in error). The plaintiffs argued that they had a contract with the defendants to insure their ship against any losses or damages during its voyage from Philadelphia to New Orleans. During this voyage, the ship was damaged due to an accident caused by one of its crew members which resulted in a loss for the plaintiffs. They then sued for breach of contract as they believed that under their agreement with the defendants, they were entitled to compensation for these losses. The court ultimately ruled in favor of the defendant on grounds that there was no evidence presented showing negligence on behalf of either party and thus no breach occurred since both parties acted according to their contractual obligations.

The dissenting opinion in the case of James J. M'Lanahan, Wilhelmus Bogart, and John Joseph Coiron v. The Universal Insurance Company argued that the court should have found for the plaintiffs on their claim against the insurance company. The dissent reasoned that since there was no dispute as to whether or not a policy had been issued by Universal Insurance Company to cover losses sustained by M'Lanahan's vessel, it was clear that they were liable for any damages incurred due to their failure to pay out on said policy when requested. Furthermore, it was noted that even if some technicality existed which would allow them an exemption from liability under certain circumstances, such exemptions did not apply in this particular situation and thus could not be used as grounds for denying payment of damages owed according to contract law principles. Therefore, it is concluded that justice requires judgment be entered in favor of M'Lanahan et al., with costs awarded accordingly.