Contracts Clause

The Contracts Clause is a provision in the U.S. Constitution (Article I, Section 10) that prohibits states from passing laws that interfere with existing contracts. Essentially, it protects the ability of individuals and businesses to honor their agreements without state interference. This means that if you have a contract, a state cannot suddenly change the rules to invalidate it or make it harder to fulfill. This clause aims to promote stability and trust in economic relationships by ensuring that contracts are respected across the states.