Pomeroy's Lessee v. The State Bank of Indiana was a case in which the Supreme Court ruled on the validity of an act passed by the state legislature that allowed for a bank to issue notes and receive payment from debtors who had previously been granted immunity from collection due to their insolvency. The court held that such an act was unconstitutional, as it violated Article I, Section 10 of the United States Constitution, which prohibits states from passing any law impairing contracts between citizens or with foreign nations or states. Furthermore, they found that since this particular contract involved money owed by one citizen to another (in this case Pomeroy's lessee), it could not be impaired without violating constitutional rights. This decision set precedent for future cases involving similar issues regarding state legislation and contractual obligations between citizens.

In Pomeroy's Lessee v. The State Bank of Indiana, the Supreme Court was asked to decide whether a state bank could be held liable for debts incurred by its predecessor in interest. The majority opinion found that the bank was not liable because it had no knowledge or notice of any such debt when it assumed control over the assets and liabilities of its predecessor. However, Justice Grier dissented from this decision on two grounds: firstly, he argued that under common law principles established prior to the formation of corporations, successors were responsible for all obligations arising out of contracts entered into by their predecessors; secondly, he noted that even if there were some doubt as to liability under general common law principles, Indiana statutes clearly imposed liability upon corporate successors for pre-existing debts and thus should have been applied in this case. In conclusion then Justice Grier believed that since both general common law principles and specific statutory provisions indicated successor liability in this case then the court should have ruled accordingly rather than absolving responsibility from The State Bank of Indiana.