In the case of Western Union Telegraph Company v. Hughes in 1906, the U.S Supreme Court ruled that a telegraph company could be held liable for damages if it negligently transmitted or delivered a message. The plaintiff, Hughes, had sent an urgent telegram via Western Union to his wife's doctor requesting immediate assistance due to her serious illness. However, due to negligence on part of the telegraph operator who failed to deliver the message promptly and accurately, medical help arrived too late and Mrs. Hughes passed away as a result. The court found Western Union guilty of negligence causing wrongful death and awarded Mr.Hughes $5,000 in damages (equivalent today is about $140k). This ruling established that companies providing communication services have an obligation towards their customers for timely and accurate transmission/delivery of messages.

The dissenting opinion in the case of Western Union Telegraph Company v. Hughes argued that the majority's decision was inconsistent with previous rulings and infringed upon state rights. The dissent contended that telegraph companies, like railroads, are public service corporations subject to regulation by states where they operate. They believed it was within a state's power to impose reasonable regulations on such entities for the protection of its citizens without violating federal law or constitutionally protected interstate commerce rights. Furthermore, they disagreed with the majority’s interpretation of “discrimination,” arguing that differential pricing based on distance traveled does not constitute unjust discrimination if rates are reasonable and applied uniformly across similar distances.