UNITED STATES SUPREME COURT DECISIONS ON-LINE

In the United States, a corporation can only have an existence under the express law of the state by which it is created, and can exercise no power or authority which is not granted to it by the charter under which it exists, or by some other legislative act.

When a statute makes a grant of property, powers, or franchises to a private corporation or to a private individual, the construction of the grant in doubtful points should always be against the grantee and in favor of the government, and this general rule of construction applies with still greater force to articles of association organizing a corporation under general laws.