Final answer:
New Jersey was granted to Carteret and Berkeley by James, Duke of York. After conflicts over governance, it eventually passed into royal hands.
Step-by-step explanation:
The territory known as New Jersey was ceded in 1664 by James, the Duke of York, to Sir George Carteret and Lord John Berkeley. This land grant was part of the English Crown's efforts, under Charles II, to both reward loyalty and enrich the monarchy through establishing colonies in the New World, which England had taken from the Netherlands. Specifically, James named the colony New Jersey to honor Carteret's defense of Jersey Island during the English Civil War. The patent given to Carteret and Berkeley granted them the right to dispose of the land and profit from it but didn't expressly grant the right to govern, which they claimed regardless.
Eventually, when the Duke of York appointed Edmund Andros as governor of New York, he included jurisdiction over New Jersey. Conflicts arose regarding governance, leading to a prolonged dispute that ended with a ruling in favor of Carteret and the Duke of York relinquishing any claim to govern New Jersey. The end of this governance dispute did not mean the end of troubles for New Jersey, as issues with mismanagement and unrest persisted, culminating in both East and West Jersey coming under royal control in 1702.
Governance of New Jersey was further complicated due to conflicts with New York and local discontent. Berkeley eventually sold his share to a Quaker investor, and in 1676, the colony was divided into East Jersey and West Jersey, with Carteret retaining ownership of the East. The colony adopted the "Concessions and Agreement" in 1665, which provided a structure for representative assembly and freedom of religion, eventually attracting settlers such as Puritans and Quakers due to these provisions.