Between alien friends, who are temporary subjects, and subjects naturalized or natural born, a species of subjects intermediate is known to the law of England. They are distinguished by the appellation of denizens. The power of denization is a high and incommunicable portion of the prerogative royal. A denizen is received into the nation, like a person who is dropt from the clouds. He may acquire rights, but he cannot inherit them, not even from his own parent: he may transmit rights to his children, who are born after his letters patent of denization; but not to those who were born before.James Wilson , Collected Works, vol. 2, Lectures on Law http://www.freerepublic.com/focus/f-news/3166623/posts?page=42#42
Justice Joseph Story:
With these principles in view, let us now come to the consideration of the question of alienage in the present case. That the father and mother of the demandant were British born subjects is admitted. If he was born before 4 July, 1776, it is as clear that he was born a British subject. If he was born after 4 July, 1776, and before 15 September, 1776, he was born an American citizen, whether his parents were at the time of his birth British subjects or American citizens. Nothing is better settled at the common law than the doctrine that the children even of aliens born in a country while the parents are resident there under the protection of the government and owing a temporary allegiance thereto are subjects by birth. If he was born after 15 September, 1776, and his parents did not elect to become members of the State of New York, but adhered to their native allegiance at the time of his birth,then he was born a British subject. If he was in either way born a British subject, then he is to be deemed an alien and incapable to take the land in controversy by descent unless he had become at the time of the descent cast an American citizen by some act sufficient in point of law to work such a change of allegiance.
Inglis v. Trustees of Sailor's Snug Harbor 28 U.S. 99 (1830)