The speaker releases the beloved, reasoning that the gift of love was granted in error—the beloved is too precious, and the speaker undeserving.
Sonnet 87 sustains a legal metaphor throughout: charter, bonds, deserving, patent, granting. This language converts the relationship into a contract exposed as void due to the speaker's unworthiness. The beloved's gift was made under misapprehension; the beloved didn't know their own value and confused the speaker for someone worthy. Love becomes a revocable patent. This deliberate legalism transforms abandonment into inevitable rectification rather than cruel rejection.
The couplet compares the relationship to a dream's false elevation—in sleep, one is a king; awake, 'no such matter.' This reverses typical dream logic (dreams are false, waking real). Here, the relationship itself was the dream, and awakening means recognizing its unreality. The beloved's value and the speaker's unworthiness were always true; the period of union was the delusion. Love becomes revealed as a temporary hallucination of equality.
You're dating someone way out of your league who once said 'I love you' in a moment of confusion. Now you realize they'll eventually recognize their mistake and leave anyway. So you preemptively end it, telling yourself you're freeing them from an error—and freeing yourself from the crushing day of rejection.