550 HIGH COURT OF CHANCERY.

made was above the Virginia terminus of the route, between
which terminus and Baltimore, the boats were to run, and was
not, therefore, for that reason, within the authority conferred
upon the company by their charter; but even if the improve-
ment had been between the termini, I do not think it would
have been within the powers granted by the act of incorpora-
tion.

The Court of Appeals have decided, that corporations are
not only incapable of making contracts which are forbidden by
their charters, but in general they can make none which are
not necessary, either directly or indirectly, to effect the objects
of their creation. The Penn. Del. and Md. Steam JVavigation
Company vs. Dandridge, 8 Gill & Johns., 248; and that the
corporation itself may, in an action brought against it upon
such contract, deny its power to enter into it.

This case, I think, is decisive of the question, and the claim
therefore founded upon the contract referred to, must be disal-
lowed and rejected.

[No appeal was taken from this order.]