In the case of The United States of America, Interstate Commerce Commission, et al., v. Union Pacific Railroad Company et al., 1913, the U.S Supreme Court was tasked with determining whether a railroad company could be compelled to provide its services at rates set by an administrative agency (the Interstate Commerce Commission). The Union Pacific Railroad Company and other railroads argued that they had a constitutional right to charge what they deemed fair for their services. However, the government contended that it had authority under interstate commerce regulations to determine reasonable rates in order to protect public interest against monopolistic pricing practices. Ultimately, the court ruled in favor of the government asserting that railroads were engaged in public service and therefore subject to regulation including rate setting by governmental agencies like ICC. This decision affirmed federal regulatory power over private industries involved in interstate commerce.

In the dissenting opinion for this case, it was argued that the Interstate Commerce Commission (ICC) did not have the authority to regulate Union Pacific Railroad Company's rates. The dissenters believed that such regulation infringed upon states' rights and violated principles of federalism. They contended that railroads were primarily local businesses and should be subject to state rather than federal control. Furthermore, they expressed concern about potential abuses of power by a centralized regulatory agency like ICC, arguing its decisions could be influenced by political considerations or favoritism towards certain industries or regions. Ultimately, these justices felt that market forces should determine railroad rates without government interference.