In the Scharrenberg v. Dollar Steamship Company case of 1917, the U.S Supreme Court ruled in favor of Dollar Steamship Company. The plaintiff, Mr. Scharrenberg was a seaman who had been injured while working on one of the defendant's ships and sought compensation for his injuries under maritime law. However, he had signed an employment contract that included a clause waiving his right to sue for damages if injured during work-related activities unless due to negligence by the company or its employees. The court held that this waiver was valid and enforceable because it did not contravene any statutory provisions or public policy at that time regarding seamen's rights to seek compensation for injuries sustained during their employment.

The dissenting opinion in the case of Scharrenberg v. Dollar Steamship Company et al., 1917, argued that the majority's decision was incorrect because it failed to recognize and uphold an individual's right to contract freely. The dissenting justices believed that this fundamental principle should not be compromised by legislation such as the Seamen’s Act of 1915, which they viewed as overly restrictive and paternalistic towards seamen. They contended that seamen were capable of making their own decisions about employment contracts without government interference or protection. Furthermore, they expressed concern over potential negative economic impacts resulting from such regulation on maritime commerce and shipping industries.