In the case of Western Union Telegraph Company v. Commercial Milling Company, the Supreme Court ruled in favor of Western Union Telegraph Co., stating that they were not liable for damages caused by a delay in delivering a telegram. The Commercial Milling Co. had sent a telegram via Western Union to buy wheat but due to an error on part of Western Union, it was delivered late and as a result, the price of wheat increased causing loss to Commercial Milling Co.. However, according to terms agreed upon when sending telegrams through Western Union (printed on their forms), any claim for damages due to delays must be filed within 60 days which Commercial Milling failed to do so. Therefore, even though there was negligence on part of Western union leading to financial loss for Commercial milling company; since they did not file their claim within stipulated time period mentioned in agreement between both parties while using services provided by western union; hence court held that western union is not responsible for paying any compensation or damage claims.

In the dissenting opinion for Western Union Telegraph Company v. Commercial Milling Company, Justice Holmes disagreed with the majority's decision to hold Western Union liable for damages resulting from a delayed message. He argued that there was no evidence of negligence on part of the telegraph company and hence it should not be held responsible for any consequential damages caused by an unintentional delay in delivering a telegram. According to him, when parties contract with each other, they are aware of potential risks involved including possible delays or errors in transmission and therefore must bear those risks themselves unless specific provisions have been made against them in their agreement. The justice believed that imposing liability without proof of fault would set a dangerous precedent and could potentially harm businesses like Western Union which provide essential services under complex conditions where occasional mistakes or delays are inevitable.