Algansee Township is situated on the eastern border of Branch County. The township was formed from Quincy Township by the Legislature on April 2, 1838. It is believed that Luther Stiles and Ludovicus Robbins were the first white permanent settlers in the territory now known as Algansee Township. Although total strangers, by a curious coincidence, both moved their families into the township on the same day. The Rev. Robbins led, but became mired in the mud, and Stiles passed him, thus by an hour or so, Mr. Stiles appears to be the original settler.

The first township meeting and election were held at the house of Horace Purdy early in May 1838. The settlers at the time wished to call their new township " Carlton," but the Legislature at this time was much interested in "Indian names," or what they thought were Indian names. As a matter of fact, this appears to be another Schoolcraft creation, and has no meaning in the Indian tongues of the time and place.