In the 1902 case of Western Union Telegraph Company v. Borough of New Hope, the Supreme Court ruled in favor of Western Union. The dispute arose when New Hope, a borough in Pennsylvania, imposed an annual tax on telegraph poles and wires owned by Western Union within its jurisdiction. The company argued that this was unconstitutional as it interfered with interstate commerce and violated their rights under federal law which allowed them to construct lines along post roads. The court agreed with Western Union's argument that they were protected from such taxation under federal law because their operations constituted interstate commerce. Therefore, local authorities could not impose taxes or regulations that would interfere with these operations.

The dissenting opinion in the case of Western Union Telegraph Company v. Borough of New Hope argued that the telegraph company should not be exempt from local taxation. The justice disagreed with the majority's interpretation of Pennsylvania law, asserting that it did allow for municipalities to tax companies like Western Union. He also took issue with their reading of federal law and prior Supreme Court decisions, arguing they had misinterpreted these sources and reached an incorrect conclusion as a result. Furthermore, he believed that allowing such corporations to avoid local taxes would place an unfair burden on other taxpayers within those communities who would have to make up for this lost revenue.