Which Supreme Court case prevented states from interfering in contracts?

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The correct answer is the case of Dartmouth College v. Woodward, which was decided in 1819. This landmark decision established the principle that state governments could not infringe upon private contracts. In this specific case, the New Hampshire legislature attempted to alter the charter of Dartmouth College, which had been granted by King George III in 1769. The Supreme Court, led by Chief Justice John Marshall, ruled that the charter constituted a contract, and as such, it was protected under the Contract Clause of the Constitution. This ruling affirmed the sanctity of contracts and bolstered the principle of limited government interference in the economic affairs of businesses and institutions.

In contrast, other cases such as McCulloch v. Maryland centered around federal versus state power regarding the establishment of a national bank, Marbury v. Madison established the principle of judicial review, and Gibbons v. Ogden dealt with the regulation of interstate commerce. These cases, while significant in their respective contexts, did not specifically address the issue of state interference in private contracts as Dartmouth College v. Woodward did.

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