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CIDE DICTIONARY
OXFORD DICTIONARY
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by-law

CIDE DICTIONARY

by-lawn. [Cf. Sw. bylag, D. bylov, Icel. b, fr. Sw. & Dan. by town, Icel. bær, byr (fr. bûa to dwell) + the word for law; hence, a law for one town, a special law. Cf. Birlaw and see Law.].
  •  A local or subordinate law; a private law or regulation made by a corporation for its own government.  [1913 Webster]
    "There was likewise a law to restrain the by-laws, or ordinances of corporations."  [1913 Webster]
    "The law or institution; to which are added two by-laws, as a comment upon the general law."  [1913 Webster]
  •  A law that is less important than a general law or constitutional provision, and subsidiary to it; a rule relating to a matter of detail; as, civic societies often adopt a constitution and by-laws for the government of their members. In this sense the word has probably been influenced by by, meaning secondary or aside.  [1913 Webster]

OXFORD DICTIONARY

by-law, n. (also bye-law)
1 Brit. a regulation made by a local authority or corporation.
2 a rule made by a company or society for its members.

Etymology
ME prob. f. obs. byrlaw local custom (ON b|jar genitive sing. of b|r town, but assoc. with BY)
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