What is the scope of the freedom of contract clause of the US Constitution?

The freedom of contract clause of the US Constitution is found in the 14th Amendment and states that no state shall "deny to any person within its jurisdiction the equal protection of the laws." This clause is often referred to as the Due Process Clause. The scope of the freedom of contract clause is expansive. It essentially allows individuals to enter into contractual agreements and protect their rights under the Constitution. This includes the right to enter into contracts, the right to modify or terminate contracts, and the right to enforce contracts. In North Carolina, the freedom of contract clause has been interpreted in several cases. For example, in In re Dunning, the court found that a contract was valid and enforceable even though it was not approved by the North Carolina Commissioner of Banks and Trusts. This case suggests that North Carolina courts will uphold the contractual rights of parties in most cases. The freedom of contract clause also allows individuals to challenge laws that interfere with their freedom to enter into a contract or modify or terminate a contract. For instance, in Hoey v. Powell, the court found that North Carolina’s antigambling statute was unconstitutional because it interfered with an individual’s freedom to contract. In short, the scope of the freedom of contract clause of the US Constitution is broad and provides protection to individuals when entering into contracts. This protection is especially important in North Carolina, as the courts have demonstrated a willingness to uphold these rights.

What is the scope of the freedom of contract clause of the US Constitution?

Related FAQs

Related Blog Posts