In the case of Public Utilities Commission for the State of Kansas et al. v. Landon, Receiver of the Kansas Natural Gas Company, et al., 1918, the Supreme Court was asked to determine whether a state utility commission had authority over an interstate natural gas company in setting rates and regulating its operations within that state's borders. The court ruled in favor of Landon and his company stating that while states have power to regulate utilities within their boundaries, they cannot interfere with interstate commerce which is under federal jurisdiction according to U.S Constitution’s Commerce Clause. This decision further clarified limits on states' rights versus federal powers regarding regulation of businesses operating across multiple states.

The dissenting opinion in the case of Public Utilities Commission for the State of Kansas v. Landon, Receiver of The Kansas Natural Gas Company argued that the state had a right to regulate and control its natural resources, including gas. It was contended that if a state could not exercise this power, it would be left at the mercy of private corporations who might exploit these resources without regard for public interest or welfare. This perspective emphasized on states' rights and their authority to manage their own affairs without federal interference. Furthermore, it was suggested that allowing companies to set prices could lead to monopolistic practices detrimental to consumers and contrary to principles of fair competition.