The Majestic case of 1896 was a U.S. Supreme Court decision that dealt with maritime law and the liability of ship owners for damages caused by their vessels. The case arose when the British steamship "Majestic" collided with an American schooner in international waters, causing significant damage to the latter. The owners of the schooner sued for compensation in a U.S court, arguing that negligence on part of those operating 'The Majestic' had led to the collision. However, under existing laws at that time, shipowners were not held liable for accidents caused without their privity or knowledge. In its ruling, the Supreme Court upheld this principle and ruled against holding 'The Majestic's' owners responsible as they weren't directly involved in navigating or managing it during its voyage when it collided with another vessel. This landmark judgment reinforced limited liability principles within maritime law and confirmed that unless there is evidence proving direct involvement or negligence from a shipowner leading to an accident; they cannot be held accountable for damages incurred due to such incidents.

In the dissenting opinion for The Majestic case, Justice Harlan disagreed with the majority's decision to absolve the ship of liability. He argued that it was not enough for a vessel to simply comply with statutory regulations; they must also exercise reasonable care and caution in all circumstances. In this particular case, he believed that The Majestic had failed to do so by maintaining an excessive speed in dense fog conditions despite having complied with navigation laws regarding sound signals. For Justice Harlan, compliance with these laws did not automatically exempt a vessel from blame if its actions were otherwise negligent or reckless. Therefore, he felt that The Majestic should be held accountable for damages caused by its collision due to negligence in maintaining safe speeds under poor visibility conditions.