In the case of Rector v. Lipscomb, 1891, the U.S Supreme Court was tasked with determining whether a land grant made by Congress to aid in building railroads could be taxed by states before it had been sold or used for railroad purposes. The court ruled that such lands were not exempt from state taxation. The decision hinged on an interpretation of the Act of July 2, 1864 which granted certain public lands to several states for internal improvements including construction of railroads and telegraph lines. While these grants were intended to promote development and settlement in western territories, they did not explicitly provide tax exemption status until after their sale or use for designated purposes. Therefore, according to this ruling, even though these lands are owned by federal entities (railroad companies), they can still be subject to state taxes as long as they have not yet been utilized for their intended purpose.

In the dissenting opinion for Rector v. Lipscomb, Justice Brewer argued that the majority's decision to uphold a state law allowing only white men to serve on juries was fundamentally unjust and unconstitutional. He contended that this ruling violated both the Fourteenth Amendment, which guarantees equal protection under the law, and the Fifteenth Amendment, which prohibits racial discrimination in voting rights. Justice Brewer believed that jury service is an essential aspect of citizenship and should not be denied based on race or color. He also pointed out inconsistencies in how states applied these laws; some allowed black men to vote but not serve on juries while others barred them from both activities entirely. This inconsistency further demonstrated their inherent unfairness and unconstitutionality according to him.