How did Fletcher v. Peck impact the interpretation of the contract clause?

The case of Fletcher v. Peck in 1810 had a significant impact on the interpretation of the contract clause of the Constitution. The Supreme Court ruled that the Georgia legislature's repeal of a land grant was unconstitutional because it violated the contract clause, which prohibits states from passing laws that invalidate contracts. This decision set a precedent by affirming that contracts are protected under the Constitution, leading to a strict interpretation of the contract clause.

The Court's ruling meant that once a contract is made, it cannot be invalidated by state legislation, thus reinforcing the sanctity of contracts and the notion that the government must respect and uphold contractual agreements. This interpretation has since influenced legal precedents and judicial decisions concerning contracts, ensuring that individuals and entities can rely on the enforceability of contracts without fear of state interference.