The charter school concept was first introduced in 1991 when the Minnesota Legislature passed the nation’s first charter school law. As of this writing in 2009, 40 states and the District of Columbia have charter school legislation. While the specific characteristics and nuances of these laws vary from state to state, almost every state law explicitly or implicitly requires a charter school to enter into a contract with its authorizer. The contract defines and protects the charter school’s autonomy over key operational decisions while specifying anticipated performance outcomes. This agreement is the linchpin of the charter school concept, as it establishes and protects the rights and responsibilities of each party. A quality contract is essential to fully realizing the potential of charter schooling.