CHARTER (OF. chortre, from Lat. chartula, .dim. of Gk. xtriprii, churl'', paper). A formal writing by which property is granted or rights and privileges are conferred. The term was formerly applied to a written conveyance of land, and property held under such an instrument was. in Anglo-Saxon law, called 'charter-land,' or lookland.• In this sense, the word has given way to 'deed.' The term charter is used to describe a grant of land. franchises, or other privileges by the State, or a solemn guaranty by the sovereign of popular rights. itugnu Carta lq.v.). or the great charter issued by King John in 1215, is one of the chief constitutional documents of Great Britain. It has been the custom of the British Government for centuries to grant political charters to some of its colonies.
In American colonial history. grants of fran chise, governmental privileges, and estates to companies for the purpose of establishing colo nies, to the inhabitants of colonies in general, or to individual proprietors were embodied in charters. Of the first sort were the charters of 31assachusetts Bay. granted by Charles T. (1620), and the charter of Georgia. granted by George H. (17321. of second was the charter of Connecticut granted to the people of the colony by Charles 11. (11162). Of the third sort were the original charter of New York, granted to the Duke of York by Charles 11. (1664), and the charter of Maryland. granted to Lord Balti More by Charles I. (1632). Some of the colonial municipal charters remain in force to the pres ent lint the general provisions of charters are of little use in the States, as corpo rations are now Created by the several Legisla tures or by Congress. Blackstone describes such charter governments as "civil corporations, with the power of making by-laws for their own in terior regnlations, not contrary to the lows of England; and with .nett rights and authorities as are specially given in their several charters of ineorporat hat." Judge Story eriti ekes Blackstone's view, declaring that the char ter colonies of America "were great political establishments, possessing the general powers of government and rights of sovereignty, dependent indeed on the realm of England, but still pos sessing within their own territorial limits the general powers of legislation and taxation." None of the British colonies, at present, "possess the general powers of government and rights of Their legislative authority is at all times subordinate to that of Parliament, and their legislative acts partake more of the nature of by-laws than of Parliamentary statutes. The
charter of their legislative powers and privileges is known as the "Colonial Laws Act, 18135." In modern municipal law, the term charter is most frequently used to denote the grant of a franchise (Tv.) by the sovereign Power t" corporation. According to Blackstone, "the King's consent is absolutely necessary to the erection of any corporation. either expressly or impliedly and "dub immediate creative act is usually performed by the King alone, in virtue of his royal prerogative." In the United States, corporations are char tered, as a rule, by legislative act ; either by a special statute which confers upon a particular corporation the special powers and privileges named therein, or under a general law which pro vides the method to be pursued by persons who would organize a corporation. In the latter ease. the articles of association, taken in connection with the provisions of the general statute, con stitute the charter. If the corporation is a pub lic one, such as a city, county, or town. its charter may be changed at will by the Legislature. Such a corporation is a mere agency of the State for the exercise of governmental powers within a particular area. It has no vested right to any of its powers or franchises. Its charter "is not a contract, hut a law for the piddle On the other hand, the charter of a private corpo ration is a contract between the State and the corporators. As such, it is protected from repeal or modification by the provision of the Federal Constitution which declares that "no State shall . . . pass any . . . law impairing the obligation of contract.." (Article 1., § 10.) The State granting the charter may. however, reserve the right to alter, amend, or repeal it. If the State does make this reservation, it is at liberty to act in accordance therewith, notwith standing the constitutional provision. Consult : Dicey, Lectures Introductory to the Study of the Lau' of the English Constitution (-ith ed., Lon don, 1803) ; Cooley, G'encrat Principles of Con stitutional Low in the Unittd States. See COR