In the case of Standard Oil Company et al. v. City of Marysville et al., 1928, the Supreme Court ruled in favor of Standard Oil and against the city's ordinance that required all gasoline to be stored at least 500 feet from any building used for public or private gatherings. The court found this rule to be arbitrary and unreasonable because it did not take into account safety measures implemented by modern technology, such as fireproof tanks and automatic shut-off valves which could prevent explosions or fires even if a tank was located within 500 feet of a building. Therefore, they concluded that this law violated the Fourteenth Amendment’s due process clause since it deprived businesses like Standard Oil their property rights without sufficient justification.

The dissenting opinion in the Standard Oil Company v. City of Marysville case argued that the city's ordinance, which prohibited the construction and operation of gasoline stations within a certain distance from schools or churches, was not a valid exercise of police power. The justice believed that such an ordinance was arbitrary and unreasonable as it did not have any substantial relation to public health, safety or welfare. They contended that there were no facts presented showing gasoline stations posed any danger to these institutions; hence this restriction seemed more like an attempt at zoning rather than genuine concern for public safety. Furthermore, they pointed out inconsistencies in allowing other potentially hazardous businesses within said areas while singling out gas stations for prohibition. Therefore, they concluded that this law violated due process rights by depriving property owners their right to use their land as they see fit without sufficient justification.