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By Joseph O’Brien. Dartmouth College vs. Woodward. Participants. Group of people with vested interests in Dartmouth. State approved secretary of the Board of Trustees. Trustees of Dartmouth College. William H. Woodward. The Issues.
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By Joseph O’Brien Dartmouth College vs. Woodward
Participants • Group of people with vested interests in Dartmouth • State approved secretary of the Board of Trustees Trustees of Dartmouth College William H. Woodward
The Issues • The New Hampshire government tried to alter the royal charter of Dartmouth • The government was trying to have greater say in Dartmouth’s affairs • Could appoint president • Could add members to the board of trustees • Created a board of visitors • Had veto power over the trustees • Government tried to change Dartmouth from private to public • Trustees felt these actions were unconstitutional
Decision • Ruled in favor of Dartmouth • Article 1, Section 10 of the Constitution • “Contract Clause” • Prohibits states from interfering with private contracts • Allowed Dartmouth to continue as a private institution
Significance • Many states passed laws and constitutional amendments to retain the right to alter contracts • Set precedent that all alterations cannot hurt members of the contract (shareholders, founders, etc..) • Strengthened the contract clause