In the case of New York Central Railroad Company v. Edward H. Johnson, the U.S Supreme Court ruled in favor of the railroad company, overturning a previous decision by a lower court that had awarded damages to Mr. Johnson for injuries he sustained while working for them as an engineer. The central issue was whether or not federal law applied to this situation; specifically, if it fell under the Federal Employers' Liability Act (FELA). This act allows employees to sue their employers for negligence leading to injury on interstate railroads - which would have made his claim valid. However, at the time of his accident, Mr. Johnson's train was stationary and being serviced within state lines – meaning it wasn't technically involved in interstate commerce when he got injured. As such, FELA did not apply according to Justice Sanford who delivered majority opinion stating that "the mere fact that they [the trains] are used in part in moving interstate traffic does not make their repair and servicing acts of interstate commerce." Therefore, since no federal law covered this incident and because there were no allegations or proof showing violation of any safety appliance statute by employer hence reversing judgment against railway company.

In the dissenting opinion for New York Central Railroad Company v. Edward H. Johnson, Justice Stone disagreed with the majority's interpretation of the Federal Employers' Liability Act (FELA). He argued that FELA was designed to place responsibility on employers for injuries sustained by their employees due to negligence in any degree, and not just in cases where employer negligence is a primary cause of injury as suggested by the majority ruling. According to him, even if an employee’s own negligence contributed partially or equally to his injury, it should not absolve employers from liability under FELA; rather it should only serve as a factor reducing damages proportionately. The purpose of this legislation was seen as protecting workers who are often powerless against large corporations and ensuring they receive compensation when injured at work due to any degree of employer fault.