In the 1943 case Thomson, Trustee of the Property of The Chicago & North Western Railway Co., v. United States et al., the U.S. Supreme Court ruled in favor of the federal government's right to regulate interstate commerce and transportation under its constitutional powers. The dispute arose when a railway company challenged an order by Interstate Commerce Commission (ICC) that required it to install safety devices on its trains crossing state lines, arguing that this was an overreach of ICC's authority and violated their rights as a private corporation. However, Justice Felix Frankfurter delivered the opinion for a unanimous court stating that Congress had broad power to regulate interstate commerce for public safety reasons and could delegate this responsibility to administrative agencies like ICC without violating due process or other constitutional protections.

In the dissenting opinion for Thomson, Trustee of the Property of The Chicago & North Western Railway Co., v. United States et al., Justice Frankfurter argued that the majority's decision was a departure from established principles governing judicial review of administrative action. He contended that it is not within the Court’s jurisdiction to substitute its judgment for that of an administrative body like Interstate Commerce Commission (ICC), particularly in complex matters such as railway reorganization where expertise and experience are crucial. Frankfurter believed ICC had adequately considered all relevant factors before approving a plan which would ensure financial stability and efficient service for public interest. He also pointed out inconsistencies in how courts have treated similar cases, leading to uncertainty about legal standards applied by them while reviewing decisions made by regulatory agencies.