Re: Charity question
In the interest of making sure we're talking a common language with respect to game terms: Activated and deactivated aren't terms we use in Munchkin. All Item in play are carried, whether they are used (or equipped), or not. Items that aren't used are turned sideways so that everyone one the table knows that you shouldn't count those Items for a bonus (or to get the special ability of the Item).
As for the Charity phase, you can play Item cards to the table to be carried, used or unused, in order to get your hand down to below the limit. You can also do other things that are legal during your turn, like discarding Item cards (from those you have carried and those you have in your hand) to buy a level, and playing GUALs or Curses. If you can't get your hand size down to the limit (or don't want to) by legally playing cards, you are absolutely compelled to give your excess to the lowest Level player(s) unless you are lowest, or tied for it. In that case, you're compelled to discard your excess.
Thieves can steal any Item that's carried, which means any Item that any other player has in play. As long as the Thief or his target is not in combat, that is.
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