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The Statute of Charitable Uses

The Lineage · 1601

Court Room · The Lineage · 1601

In 1601, the same year Shakespeare was writing Hamlet, the English Parliament passed 43 Eliz. 1, c. 4 — the Statute of Charitable Uses, often called the Statute of Elizabeth. The act was passed during a period of widespread concern about the misuse of property given to charitable purposes: lands set aside for the relief of the poor, the repair of bridges, the maintenance of schools, and similar public-purpose objects were being quietly diverted, encroached upon, or simply lost to the records of who held what. The statute responded by empowering the Lord Chancellor to issue commissions of inquiry into the “misemployment, fraud, and neglect” of charitable property, with the commissioners’ decrees enforceable in the Court of Chancery.

The preamble of the 1601 Act enumerated the paradigmatic charitable purposes that English equity courts would thereafter recognize as enforceable charitable trusts. The list is the canonical Anglo-American definition of “charitable” — every modern definition of the term in trust and tax law traces back to this catalogue, either directly or by analogy. Among the enumerated objects, on a line of its own, is the foundational educational entry:

“The maintenance of schools of learning, free schools, and scholars in universities.”

This is the doctrinal root of the proposition that schools, as institutions, are paradigmatic charitable beneficiaries in the Anglo-American legal tradition. When American courts in the nineteenth and twentieth centuries treated school-trust lands as held in trust for schools-as-beneficiaries, they were drawing on a body of charitable-trust doctrine whose conceptual vocabulary — “charitable,” “schools of learning,” “the maintenance of” — was directly inherited from the 1601 enumeration.

Two features of the statute matter for the modern school-trust lineage. First, the 1601 Act established the principle that charitable property is subject to judicial supervision rather than to the unconstrained discretion of those who hold legal title. The Chancery’s authority to enforce the charitable purpose through commissions of inquiry and decrees of restitution is the institutional ancestor of every modern fiduciary action to remedy misuse of trust property. Second, the preamble’s enumeration of charitable purposes — specifically including schools — has been preserved through every English and American codification since, including the express preservation by Section 13(2) of the Mortmain and Charitable Uses Act 1888 (51 & 52 Vict. c. 42) when the operative provisions of the 1601 Act were repealed. The repeal did not touch the preamble’s definition.

The link forward to the American school trust is direct. When the framers of the Northwest Ordinance in 1787 declared that “schools and the means of education shall forever be encouraged,” they were using a vocabulary — schools as a public-purpose object of long-duration commitment — that had been doctrinally legible in English law since 1601. When the Supreme Court in Trustees of Vincennes University v. Indiana (1852) characterized a federal educational land grant as creating a charitable trust analogous to a private charitable trust, the analogue it was drawing on was the 1601 Statute’s tradition. The 1601 Act is therefore the moment the schools-as-charitable-trust pedigree becomes legible in English law and the doctrinal bridge between medieval equity and the American school-lands jurisprudence that followed.

“The maintenance of schools of learning, free schools, and scholars in universities.” — Statute of Charitable Uses, 43 Eliz. 1, c. 4, preamble (1601).

Primary source. Statute of Charitable Uses, 43 Eliz. 1, c. 4 (1601).

References. Statute of Charitable Uses, 43 Eliz. 1, c. 4 (1601); Mortmain and Charitable Uses Act 1888, 51 & 52 Vict. c. 42, § 13(2) (preserving the 1601 preamble); John Herne, The Law of Charitable Uses (1660).