Terrett v. Taylor, 13 U.S. (9 Cranch) (1815), 50. 1. Mazur, Religion and the Earliest Supreme Court Justices, 17891911, in The Wiley Blackwell Companion to Religion and Politics in the U.S., ed. The arguments underlying the Dartmouth College decision reflected and developed these points into the landmark statement on corporate rights that it has become. As Marshall said, Laws of incorp[oratio]n. [are] distinct from general laws & not like them repealable: being compacts between two parties and elaborated that a vested Right of any sort cannot be touched. Whereas evangelicals were focused on the righteousness of repeal, Marshall and Randolph focused on the legality of revoking an act of incorporation.Footnote 61, Although Marshall opposed repeal, his comments suggested a way forward for opponents of the law. Woodward opinion advanced a principled originalism. Because previous accounts of Terrett ignore customary incorporation, they also overlook the significance of Story's discussion of royal grants and the durability of pre-Revolutionary corporations. (Q006) Southern slave states sought to protect their national political interests by. Christ Church stood in the town of Alexandria at the southernmost point of the federal district, and its glebe lands lay to the northwest in the county. 1 / 15. a. 106. Figure 1. Virginia Declaration of Rights, Section 1. Story wrote that Terrett was decided by a majority, which suggests that at least one of the four justices present for the case (Livingston, Marshall, Washington, and Duvall) disagreed with Story's opinion.Footnote 111 There is ample evidence to conclude that Marshall acquiesced with Story's rationale in Terrett. Christ Church in Alexandria, Virginia in 2020. (Oxford: Clarendon Press, 1770), I:472. 10, ed. For Lynnhaven Parish in Princess Anne, see Princess Anne County, Deed Book 8, 532; Deed Book 9, 91; Deed Book 9, 103; Deed Book 9, 343; Deed Book 9, 343; Deed Book 14, 42, LVA. These radical policies set Virginia apart from other states and made these disputes a critical litmus test for the rights of all corporations. No other state curbed the corporate rights of the former established church to the same degree, which made Virginia's disestablishment an important litmus test for the rights of all corporations in the early national United States. Library of Congress, Geography and Map Division. Whereas Tucker had granted the legislature significant latitude to regulate private corporations, the Court used Terrett as an opportunity to assert the independence of private corporations vis--vis state legislatures, and defended corporations indefeasible and irrevocable titles to their property.Footnote 83, The conflict in Terrett v. Taylor (1815) resembled the earlier Turpin v. Lockett in many ways. For some examples, see Hening, 7:31415; 9:240; 7:234; 8:365; 9:239. An Address to the Anabaptists Preachers Imprisoned in Caroline County, Virginia Gazette (Williamsburg: Prudie & Dixon), February 20, 1772, 12. He offered an uncompromising defense of the vested rights of parishes to their property.Footnote 90 Washington's prior connection to the case has gone unnoticed by constitutional scholars, and he did not recuse himself from Terrett despite his earlier involvement. For example, he pointed to the parish rector to illustrate the concept of a corporation sole, and invoked parish churchwardens as an example of a lay civil corporation.Footnote 22 Blackstone's reliance on parochial examples underscores just how familiar these institutions were to English subjects living under the established Anglican Church. 86. 88. This discussion of religious freedom was not tangential but was essential to Story's line of argument. Turpin, Call 113 (1804), 113; 129; 139; 148. Duvall is perhaps best known for his reticence on the Court, and therefore, it seems unsurprising that he left no explanation of his dissent. Render date: 2023-05-01T16:19:54.698Z Did a state legislature have the right to seize the property of the parish? Their advocacy of such a radical view is best understood in light of the long history of the Anglican Church's exclusive access to incorporation. 40. 74. For more on the legal persecution of dissenters and the growth of evangelical community, see Isaac, The Transformation of Virginia; Monica Najar, Evangelizing the South: A Social History of Church and State in Early America (New York: Oxford University Press, 2008); and Jewel Spangler, Virginians Reborn: Anglican Monopoly, Evangelical Dissent, and the Rise of the Baptists in the Late Eighteenth Century (Charlottesville: University of Virginia Press, 2008). For a comparison of the two policies of confiscation, see Gordon, The Landscape of Faith.. Dartmouth College v. Woodward was an 1819 Supreme Court case that took place when the state of New Hampshire attempted to rewrite Dartmouth's charter. An Act Incorporating the Protestant Episcopal Church in the town of Alexandria, in the District of Columbia, January 1811. James Madison to Thomas Jefferson, January 9, 1785, Founders Online. Newmeyer stated that Marshall cited Terrett in Dartmouth College, but does not elaborate any further. This ambiguity leaves scholars with no choice but to rely on historical context to reconstruct Marshall's reasoning in Dartmouth College. 61. 1, 44344, LVA. Thomas Buckley, Establishing Religious Freedom: Jefferson's Statute in Virginia (Charlottesville, VA: The University of Virginia Press, 2013), 12224; and H. Jefferson Powell, A Community Built on Words: The Constitution in History and Politics (Chicago: University of Chicago Press, 2005), 8595. Defenders of Virginia's Anglican establishment argued that the church promoted publick Peace by enforcing Religion and Morality.Footnote 25 Political rights were tied to spiritual conformity; although religious dissenters might privately hold contrary beliefs, outwardly it was the duty of every good Member of Society to submit[for] the good of the whole.. Dignan, History of the Legal Incorporation, 3540. 25. The question of which parochial body held title to parish glebes would become a central issue in disestablishment, and I will return to these properties later on in this story. The formerly established church worried that their change in appellation would lead to cavilsdisputes and litigations over parish property and hoped that the state would reaffirm their customary corporate rights under a formal act of incorporation.Footnote 46, The Committee for Religion in the Virginia House of Delegates endorsed the Episcopal Church's request for incorporation while also recommending a general act of incorporation to benefit all other religious societies.Footnote 47 The legislature passed an act incorporating the Episcopal Church in the fall session of 1784. & G. Bartow, 1823), 13 vols. See Priest, Claire, The End of Entail: Information, Institutions, and Slavery in The American Revolutionary Period, Law and History Review 33 (2015): 277319CrossRefGoogle Scholar; and Holly Brewer, Entailing Aristocracy in Colonial Virginia: Ancient Feudal Restraints and Revolutionary Reform, William and Mary Quarterly, 3rd ser., 54 (1997): 30746. McConnell, The Supreme Court's Earliest Church-State Cases, 13. 96. Dartmouth College v. Woodward is taken to be the seminal case in the rise of the corporation. The New York and South Carolina legislatures rejected numerous petitions for incorporation from dissenting congregations throughout the eighteenth century.Footnote 40 In Maryland, the legislature's mortmain statutes denied Catholics and Protestant dissenters the ability to incorporate; the parishes of Maryland's established Anglican Church, however, held their property under common law incorporation.Footnote 41 Virginia's growing community of dissenters was just beginning to protest against their inability to incorporate on the eve of the Revolution. While Dartmouth College had been incorporated by a royal charter in colonial New Hampshire, the litigant in Terrett, a parish vestry, had been incorporated under common law in colonial Virginia. The weakness of common law incorporation as a mechanism for securing corporate rights strengthens our understanding of the robust protections afforded to chartered corporations in Dartmouth College. 97. Decisions over the legality of state disestablishmentarian policies had lasting consequences for all American corporations. These new perspectives on Turpin, Terrett, and Dartmouth College deepen our understanding of early American corporations in three key ways. Tucker had recently published a revised version of Blackstone's Commentaries and was widely viewed as one of the nation's leading experts on common law. Dartmouth College v. Woodward (1819) has long been hailed as a landmark Supreme Court decision and a significant step in the rise of the American commercial In 1801, Maryland and Virginia ceded land to the federal government to create the District of Columbia. This statute asserted that all property formerly belonging to the Church, of every description, devolved on the good people of this commonwealth, on the dissolution of the British government here. Sixteen years after declaring the Episcopal Church independent from the state and preserving its property, the assembly stripped the denomination of its glebe property.Footnote 68. The Supreme Court's 1819 decision limited the power of a state legislature to invalidate a royal charter, or indeed to alter any corporate contract.Footnote 1 Scholars have emphasized that the legal structure of the modern U.S. business corporation had its genesis in Dartmouth College and called the case an epochal moment in the history of American corporations.Footnote 2 Chief Justice John Marshall's definition of the corporation in Dartmouth College remains a touchstone for scholars and the courts today.Footnote 3, However, when Daniel Webster appeared before the Court, he cast Dartmouth College as an already-settled matter of law, not a potential milestone. But looking at this series of cases togetherstarting with Turpin, moving next to Terrett and then considering Dartmouth Collegeoffers several important insights to scholars. In 1817, the college sued to prevent the state of New Hampshire from modifying its colonial charter and turning the school into a public university. Churchwardens wrote contracts for every project that the parish undertook: digging wells, clearing land, or building churches.Footnote 30 The corporate status of churchwardens was particularly important when executing long-term contracts; as individual churchwardens came and went, their contracts remained enforceable. Recent works that focus on the incorporation of religious societies do not explore how English common law had long offered customary incorporation to the established Anglican Church before the Revolution. Virginia Constitution (1851), article 32. 1 / 15. R.A. Brock, ed., The Vestry Book of Henrico Parish, Virginia 1730-'73 (Richmond, VA: 1874), 148. WebIn Dartmouth v. Woodward (1819) the Court promoted business growth by denying states the right to alter or impair contracts unilaterally. See An Act Concerning the District of Columbia, 2 Stat. Marshall voiced a commitment to protecting vested rights and preventing legislative intrusion by voting to support the resolution against glebe confiscation in 1789. For the record of votes, see Journal of the House of Delegates of the Commonwealth of Virginia; Begun and Held in the City of Richmond, in the County of Henrico on Monday, The Eighteenth Day of October, in the Year of Our Lord One Thousand Seven Hundred and Eighty-Four (Richmond: Commonwealth of Virginia, 1828), 79. See Newmeyer, Supreme Court Justice Joseph Story, 132. 28. 94. The Pawlet decision does not record Marshall's support, but the Chief Justice endorsed Story's rationale just a few years later in his decision in Trustees of Philadelphia Baptist Ass'n v. Hart's Executors (1819).Footnote 116 Ultimately, the Court's decisions in Terrett and Pawlet affirmed the rights of corporations and provided ideological scaffolding for yet another disestablishmentarian case, Dartmouth College. Chief Justice Marshall had personally taken part in these debates while serving as a delegate in Virginia's legislature in the 1780s. Story took the opportunity to rule affirmatively on the matter in Dartmouth College when asserting that the Revolution had not destroyed vested rights of property and arguing that the legislature did not have the right to seize the property of a corporation.Footnote 122 The justice also returned to the distinction between private and public corporations, just as he had in Terrett. The famed orator maintained that Dartmouth College closely resembled a case from 4 years earlier, Terrett v. Taylor (1815). Blunting the Revolution's Radicalism from Virginia's District Courts, The Virginia Magazine of History and Biography 106 (1998): 41942Google Scholar. He wrote that in Terrett and Dartmouth College, it is most obvious, that the effect of [the states'] laws is to abolish the old corporation, and to create a new one in its stead. He asked rhetorically, In what respects do [these cases] differ? None at all, he concluded. For details of the purchase, see Nan Netherton, Donald Sweig, Janice Artemel, Patricia Hickin, and Patrick Reed, Fairfax County, Virginia: A History (Fairfax, VA: Fairfax County Board of Supervisors, 1978), 71. Traditional accounts for the rise of the business corporation focus on the shift from special acts of incorporation to general incorporation statutes, but do not address the existence of common law corporations. The issue of the general assessment was postponed until the following year. 64. Definition. The increasing number of religious dissenters, along with intense anti-British sentiment during the war, eroded support for the religious establishment following the outbreak of the Revolution.Footnote 43 In 1782, the American branch of the Anglican Church established itself as the Protestant Episcopal Church, but a new name was not enough to convince wary Americans to rejoin its ranks. My dissertation has traced and tracked Virginia's glebe confiscations. Newmeyer characterizes Terrett as a significant development in the publicprivate distinction in American law. Trustees of Dartmouth College v. Woodward, 17 U.S. 518 (1819), 591. Ely, Jr., 1050; William M. Wicek, The Lost World of Classical Legal Thought: Law and Ideology in America, 18861937 (New York: Oxford University Press, 1998), 34; Currie, The Constitution in the Supreme Court, 13841; and Stites, Private Interest and Public Gain, 137 n.49. Moreover, numerous pieces of legislation, including the 1784 Act of Incorporation and the 1786 Act of Repeal, had expressly affirmed vestries titles to glebes. Two areas of early American law clarify the relationship between Terrett and Dartmouth College: corporate law and the legal disestablishment of religion. Historians of religion, on the other hand, discuss Turpin and Terrett in the context of Virginia's disestablishment without examining the cases impact on the history of corporations.Footnote 11 Studies by Mark McGarvie, Michael McConnell, and Sarah Barringer Gordon connect these fields by highlighting the intersection of state disestablishment and constitutional law, but even their studies do not resolve all of the confusion about Terrett.Footnote 12. "useRatesEcommerce": false John Blair Smith, a leading Presbyterian minister, wrote to Madison during the summer of 1784 that some form of incorporation could have been extremely proper, but that the specific terms of the 1784 act had made the Church a mere political machine, which the State may regulate at pleasure.Footnote 50 Madison concurred and expressed concerns that the law kept the Episcopal Church under legislative oversight.Footnote 51 However, he acknowledged that the necessity of some sort of incorporation for the purpose of holding and managing the property of the Church could not well be denied. Despite his reservations, Madison was willing to support incorporation in order to prevent any sort of religious tax from passing, which he viewed as a much greater evil.Footnote 52, Presbyterians and Baptists organized a petitioning campaign to demand a repeal of the Incorporation Act during 1786.Footnote 53 Echoing Smith and Madison, evangelical petitioners argued that the Act of Incorporation had made the legislature the Head of that church in violation of the state constitution. Joseph Story, Commentaries on the Constitution of the United States (Boston: Hilliard, Gray, and Company, 1833), 3:258, 260, 269, 533, 691. Terrett v. Taylor, 13 U.S. (9 Cranch) (1815), 52. The Avalon Project at Yale Law School. Ely, James W. Jr., The Marshall Court and Property Rights: A Reappraisal, The John Marshall Law Review 33 (2000): 104950Google Scholar; Benjamin F. Wright, Jr., The Contract Clause of the Constitution (Cambridge, MA: Harvard University Press, 1938), 38; and David P. Currie, The Constitution in the Supreme Court: The First Hundred Years, 17891888 (Chicago: University of Chicago Press, 1992), 138. Dartmouth College v. Woodward (1819) has long been hailed as a landmark Supreme Court decision and a significant step in the rise of the American commercial economy. Washington cited the Terrett decision in his opinions in Trustees of Dartmouth College v. Woodward (1819) and Society for Propagation of the Gospel v. Town of New Haven (1823). Perhaps it is not surprising that Terrett v. Taylor faded into obscurity. The expansion of religious freedom was not just an ideological struggle; it was also a legal quandary for newly independent states. In 1798, Virginia repealed portions of six acts from the 1770s and 1780s that had allowed the Episcopal Church to retain parochial property, which the legislature now deemed inconsistent with the principles of the constitution, and of religious freedom, and manifestly tend[ed] to the re-establishment of a national church.Footnote 67 Although the 1798 law laid the philosophical groundwork for the legislature to claim all parish property, it was not until 1802 that the legislature authorized a specific plan for confiscation when it passed the Glebe Act. 15. Published by Cambridge University Press on behalf of the American Society for Legal History, https://doi.org/10.1017/S0738248020000486, The Personification of the Business Corporation in American Law, Creating Roles for Religion and Philanthropy in a Secular Nation: The Dartmouth College Case and the Design of Civil Society in the Early Republic, The Marshall Court and Property Rights: A Reappraisal, The Supreme Court's Earliest Church-State Cases: Windows on Religious-Cultural-Political Conflict in the Early Republic, The End of Entail: Information, Institutions, and Slavery in The American Revolutionary Period, The Virginia Magazine of History and Biography, After Disestablishment: Thomas Jefferson's Wall of Separation in Antebellum Virginia, The Constitution in the Supreme Court: The First Hundred Years, 17891888, The Opinion of Chancellor Tucker in the Case of Selden and Others against the Overseers of the Poor of Loudoun and Others. For example, in Augusta County, the Presbyterian Congregation of Tinkling Spring vested lands and its church buildings in a number of individuals named as trustees on its deed, but these individuals lacked any standing in law to act on behalf of the church. See McConnell, The Supreme Court's Earliest Church-State Cases, 15; and From James Madison to the House of Representatives, 21 February 1811, Founders Online. Virginia's refusal to recognize Terrett underscored the limited practical significance of the case. 45. 124. Webproceedings of the trustees of Dartmouth College from the establishment of the corporation until the 7th day of October, 1816; the original charter or letters-patent, constituting the For a discussion of Virginia's colonial statutes that supported the Anglican establishment and penalized religious dissent, see John Nelson, A Blessed Company: Parishes, Parsons, and Parishioners in Anglican Virginia, 16901776 (Chapel Hill: The University of North Carolina Press, 2001); and Isaac, The Transformation of Virginia. Madison explained that the law, which incorporated the church and laid out rules for the ecclesiastical corporation's government, exceeds the rightful authority to which governments are limited by the essential distinction between civil and religious functions and violates in particular the article of the Constitution of the United States which declares that Congress shall make no law respecting a religious establishment.Footnote 86 Madison had been convinced by Virginia's evangelicals that incorporation was a form of religious establishment.Footnote 87 After leaving office, he would elaborate on the threat posed by propertied religious corporations in his Detatched Memoranda. Whereas Terrett specifically focused on the status of common law corporations and acts of incorporation, the 1815 decision had suggested that royal grants had likewise survived the Revolution. Recognizing the widespread existence of common law corporations does not offer a new origin story for all American corporations; instead, it reveals the loss of a once-familiar route to incorporation before the Revolution: common law.Footnote 18 Although the Court endeavored to uphold the rights of customary corporations in Terrett, common law incorporation held little value if state legislatures could simply ignore these institutions corporate status and property claims. James Madison to Thomas Jefferson, January 9, 1785, Founders Online. 23. Trustees of Dartmouth College v. Woodward, 17 U.S. 518 (1819), 650. The controversy over Virginia's confiscation of the glebes landed before the Supreme Court in the case of Terrett v. Taylor (1815). 84. The 1789 resolution presented a legal rationale against confiscation by declaring that the dispute over the glebes was not of a religious nature but ought to be settled by the rules of private property. Glebes, churches, and chapels that had been purchased, donated, or acquired through grants from the King of England, had been vested in bodies which were capable in law of taking and holding them to their own use, and which actually did take and hold them to that use. Confiscation by the commonwealth would amount to an unconstitutional invasion of right and a usurpation in the Legislature. The legislature sought to guarantee that parishes property would be inviolably preserved. Marshall's support for this declaration foreshadowed the decision in Terrett, and its specific discussion of royal grants gestured toward his logic in Dartmouth College. Although scholars have convincingly argued that the emergence of statutory frameworks for business and religious corporations were distinct processes, litigation during religious disestablishment ultimately enshrined the rights of business corporations and made them powerful vehicles for commercial growth.Footnote 117 Dartmouth College crystallized the implicit logic of Terrett by holding that all charters were contracts and thus offered robust protections to all private corporations.
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