 Several precedents had been set by the Supreme Court regarding state control over railways.Until "Munn v. Illinois" when the Granger Laws were declared constitutional, it had been held that railway property was protected from state authority by the Contract Clause of the Constitution, which states that no state shall pass any "Law impairing the Obligation of Contracts".However, in the Munn case, the Court ruled that all property was held subject to legislative regulation if it was "affected with a public interest".