The Southern Pacific Company v. Berkshire case in 1920 revolved around a dispute over the liability of an employer, Southern Pacific Company, for the death of its employee, Linder. The Supreme Court ruled that under federal law (the Federal Employers' Liability Act), employers were liable for injuries or deaths caused by their negligence to employees engaged in interstate commerce activities. In this particular case, Linder was killed while working on a bridge used for both intrastate and interstate traffic. The court held that since his work could have affected interstate commerce indirectly, he was covered by the act even though at the time of his death he might not have been directly involved with such commerce. Therefore, Southern Pacific Company was found liable for damages resulting from their negligence leading to Linder's fatal accident.

The dissenting opinion in Southern Pacific Company v. Berkshire argued that the majority's decision to uphold a state law requiring railroads to compensate employees for injuries sustained on out-of-state trips was inconsistent with previous rulings and infringed upon interstate commerce regulations. The dissent contended that this ruling would allow states to regulate activities beyond their borders, which could lead to conflicting laws between states and hinder the smooth operation of interstate businesses. Furthermore, it asserted that such regulation should be left up to federal authorities who have jurisdiction over interstate matters as per the Constitution. It also expressed concern about potential unfairness towards companies forced by individual state laws into assuming liabilities they might not otherwise bear under federal legislation or other states' rules.