In the case of Wabash Railroad Company v. Tourville, 1900, the U.S Supreme Court ruled in favor of Wabash Railroad Company. The dispute arose when Mr. Tourville was injured while working for the railroad company and sought compensation under Missouri's employer liability laws. However, his employment contract specified that any disputes would be governed by Illinois law which did not provide such protections to employees at that time. The court held that since both parties had agreed to abide by Illinois law in their contract, it should govern their relationship regardless of where an injury occurred or a lawsuit was filed.

The dissenting opinion in the case of Wabash Railroad Company v. Tourville argued that the court majority erred in its interpretation and application of federal law, specifically regarding interstate commerce regulations. The dissent contended that a state should retain jurisdiction over incidents occurring within its boundaries, even if they involve entities engaged in interstate commerce such as railroads. They believed this was especially true when it came to matters of public safety or welfare, which included accidents like the one at issue in this case. The dissenters felt that allowing states to regulate these issues did not interfere with Congress's power over interstate commerce but rather complemented it by providing local oversight and control where needed most urgently.