This Supreme Court case involved a dispute between the National Steam Navigation Company and the Scotland, Dyer & Others. The Scotland, Dyer & Others were the owners of a vessel called the Scotland, which had been damaged by the National Steam Navigation Company's vessel, the City of Glasgow. The Scotland, Dyer & Others sued the National Steam Navigation Company for damages, claiming that the City of Glasgow had negligently caused the damage to the Scotland. The Supreme Court held that the National Steam Navigation Company was liable for the damages caused to the Scotland. The Court found that the National Steam Navigation Company had been negligent in its operation of the City of Glasgow, and that this negligence had caused the damage to the Scotland. The Court also held that the National Steam Navigation Company was liable for the damages even though the Scotland, Dyer & Others had not taken any steps to prevent the damage. The Court's decision established that a vessel owner can be held liable for damages caused by its vessel, even if the other vessel owner has not taken any steps to prevent the damage. This decision has been cited in numerous subsequent cases involving maritime law.

In the case of Scotland; Dyer & Others v. National Steam Navigation Company, the Supreme Court was asked to decide whether a contract between two parties should be enforced even though it violated an act of Congress. The majority opinion held that contracts which violate acts of Congress are not enforceable and must be disregarded by courts. However, in his dissenting opinion Justice Field argued that while he agreed with the majority's conclusion on this particular case, he disagreed with their reasoning for reaching it. He believed that if a contract is valid under state law then it should remain so regardless of any conflicting federal laws or regulations unless those laws specifically provide otherwise. He further argued that when there is no clear indication from Congress as to how such conflicts should be resolved then courts have an obligation to uphold contracts made in good faith and without fraud or coercion since they are essential for commerce and economic growth within states.