In the case of New York Central Railroad Company v. Goldberg in 1918, the U.S. Supreme Court ruled on a dispute involving an injured railroad worker's right to compensation under federal law. The plaintiff, Mr. Goldberg, was a switchman for the New York Central Railroad who suffered injuries while performing his duties and sought damages from his employer under the Federal Employers' Liability Act (FELA). The defendant argued that since Mr. Goldberg had been negligent himself by not using available safety equipment properly which contributed to his injury, they should be exempted from liability or at least have their liability reduced proportionately as per state laws of contributory negligence. However, FELA did not include provisions for such reduction in cases where workers were partially responsible for their own injuries through negligence; it only provided exceptions if employees willfully caused harm to themselves or were intoxicated during work hours. The Supreme Court held that federal law superseded any conflicting state laws regarding employee compensation and upheld lower court decisions awarding full damages to Mr.Goldberg despite his partial fault in causing injury due to its strict liability provision.

In the dissenting opinion for New York Central Railroad Company v. Goldberg, Justice McReynolds argued that the majority's decision was a departure from established principles of law and an unwarranted intrusion into state affairs. He contended that it was not within the purview of federal courts to interfere with state laws regarding employer liability unless they were clearly unconstitutional or violated rights protected by federal law. In this case, he believed neither condition had been met. The justice also expressed concern about potential negative impacts on businesses due to increased litigation and uncertainty caused by such interference in state matters. He maintained that states should have autonomy in regulating local industries according to their own judgment without undue intervention from federal authorities.