Black Badge

The Black Badge is a very useful, though also difficult to obtain, item in  Ultima V.

Description
The badge acts as proof of association with the Oppression. Wearing it - and knowing the current password - the Avatar and the companions have nothing to fear from the guards in the Palace of Blackthorn. Even the dark lord himself will react friendly towards them. This allows for a much easier path to recover the crown of Lord British from said palace. However, it isn't called the Black Badge for nothing, as obtaining the Black Badge is only possible after a significant loss of karma.

History
Hearing about the Oppression from the weaponmaker Tactus in Minoc, and getting additional information from the corrupt Judge Dryden in Yew, the Avatar decided to join the Oppression as a lip-service to infiltrate it by talking to the dark mage Flain in Skara Brae. After the Avatar proved worthy by providing the name of a member of the Great Council, the Avatar was directed to Windemere by Flain with the password of the Oppression. The Avatar received the Black Badge from Elistaria after speaking the password.

Many years later, one Black Badge was seen in the Royal Museum in  Ultima IX.

Ultima V: Lazarus
In Ultima V: Lazarus, it's possible to tell Flain a Word of Power instead of providing the name of a member of the Great Council, but this will also hurt the player's karma - though less than the alternative. In the Lazarus version of the game, wearing the badge also opens up many dialogue options and changes how various NPCs react to the Avatar.

Trivia

 * Without the Black Badge, the chance of getting caught and one character being permanently destroyed by Blackthorn's pendulum is high. However, Lord Blackthorn's guards may be bypassed if the magic carpet is used.
 * Karma can be recovered after getting the Black Badge by praying at the shrines and donating money. A destroyed Shrine can be restored with the right Word of Power.
 * The Black Badge is not needed to complete Ultima V; it is, at most, a convenience in certain areas.