What is a primary example of state-based legislation that affects contract law?

The Uniform Commercial Code (UCC) serves as a primary example of state-based legislation that impacts contract law, specifically regarding commercial transactions. The UCC was created to standardize and harmonize the laws governing commercial contracts across different states, making it easier for businesses to engage in transactions without having to navigate a diverse set of state laws.

By providing a comprehensive framework for various types of commercial contracts, such as sales of goods and leases, the UCC emphasizes uniform guidelines that facilitate interstate commerce. Each state has adopted various parts of the UCC, demonstrating its significance and influence over contract law at the state level.

In contrast, while the Restatement of Contracts is a valuable reference for understanding contract law principles, it does not have the force of law and is not legislation. Common law principles may also serve as foundational elements of contract law but are developed through judicial decisions rather than legislative processes. The Model Penal Code is unrelated to contract law as it focuses on criminal law rather than civil transactions. Therefore, the UCC stands out as a significant piece of legislation that directly affects contract law across multiple states.