The reorganization allowed the company to survive for over four years, but a labor strike in September 1979 forced it to cease all operations.

The liquidation was scheduled to happen in March 1980, immediately concluding the ICC's contract with the Kansas City railway company.

It was signed into law by President Ronald Reagan on May 30, 1980, three days before the reorganization court's order to abandon the Rock Island railways was to become active.

The United States had motioned the reorganization court six days prior to vacate its previous injunction, as the Staggers Act would render it moot.

The majority opinion was delivered by Justice Rehnquist, who claimed determining what power Congress was exercising was "admittedly not an easy task".

In enacting RITA, Congress did nothing less than to prescribe the manner in which the property of the Rock Island estate is to be distributed among its creditors.Although the original decision was made because of the Just Compensation Clause of the Fifth Amendment, the Supreme Court did not reach on this, as the issue with the Bankruptcy Clause was sufficient to declare RITA unconstitutional.