A.P. Smith Mfg. Co. v. Barlow
Supreme Court of New Jersey
98 A.2d 581 (1953)
Relevant factsFree
A.P. Smith (defendant), chartered before New Jersey later amended its law to permit corporate charitable contributions, donated to Princeton University without specific authorization in its own articles of incorporation; a shareholder, Barlow (plaintiff), sued to void the donation, arguing it exceeded corporate authority and that applying the statute retroactively to Smith's older charter was unconstitutional.
IssueFree
Whether a company may make a donation to an important local university, as authorized by state law, when its certificate of incorporation is silent on the matter.