1. EARLY NATIONAL EVENTS

2. PROCLAMATION OF NEUTRALITY The Proclamation of Neutrality was a formal announcement issued by President George Washington in May 1793, declaring the nation neutral in the conflict between France and Great Britain. It threatened legal proceedings against any American providing assistance to any country at war.

3. PROCLAMTION OF NEUTRALITY Washington's cabinet members agreed that neutrality was essential; the nation was too young and its military was too small to risk any sort of engagement with either France or Britain. Secretary of State Thomas Jefferson, agreed with his political rivals that a proclamation was necessary.

4. XYZ AFFAIR The XYZ Affair was a political and diplomatic episode in 1797 and 1798, early in the administration of president John Adams, involving a confrontation between the United States and Republican France that led to an undeclared war called the Quasi-War. The name derives from the substitution of the letters X, Y and Z for the names of French diplomats in documents released by the Adams administration.

5. XYZ AFFAIR An American diplomatic commission was sent to France in July 1797 to negotiate problems that were threatening to break out into war. The diplomats, Charles Cotesworth Pinckney, John Marshall, and Elbridge Gerry, were approached through informal channels by agents of the French Foreign Minister Talleyrand, who demanded bribes and a loan before formal negotiations could begin.

6. XYZ AFFAIR Charles Cotesworth Pinckney responded by saying “No, no, not a sixpence.”Although such demands were not uncommon in mainland European diplomacy of the time, the Americans were offended by them, and eventually left France without ever engaging in formal negotiations.

7. ALIEN AND SEDITION ACTS President Adams took strong steps in response to the French foreign threat. A series of laws known collectively as the ALIEN AND SEDITION ACTS were passed by the Federalist Congress in 1798 and signed into law by President Adams. The Alien Act included new powers to DEPORT foreigners as well as making it harder for new IMMIGRANTS to vote. Previously a new immigrant would have to reside in the United States for five years before becoming eligible to vote, but a new law raised this to 14 years.

8. ALIEN AND SEDITION ACTS Clearly, the Federalists saw foreigners as a deep threat to American security. However, non-English ethnic groups had been among the core supporters of the Democratic-Republicans in 1796. The most controversial of the new laws permitting strong government control over individual actions was the SEDITION ACT. In essence, this Act prohibited public opposition to the government. Fines and imprisonment could be used against those who "write, print, utter, or publish... any false, scandalous and malicious writing" against the government. Under the terms of this law over 20 Republican newspaper editors were arrested and some were imprisoned.

9. VIRGINIA AND KENTUCKY RESOLUTIONS The Sedition Act clearly violated individual protections under the first amendment of the Constitution. However, the practice of "JUDICIAL REVIEW," whereby the Supreme Court considers the constitutionality of laws was not yet well developed. Furthermore, the justices were all strong Federalists.

10. VIRGINIA AND KENTUCKY RESOLUTIONS As a result, Madison and Jefferson directed their opposition of the Alien and Sedition to state legislatures. The Virginia and Kentucky legislatures passed resolutions declaring the federal laws invalid within their states. The bold challenge to the federal government offered by this strong states' rights position seemed to point toward imminent armed conflict within the United States. By placing states rights above those of the federal government, Kentucky and Virginia had established a precedent that would be used to justify the secession of southern states in the Civil War.

11. VIRGINIA AND KENTUCKY RESOLUTIONS A further resolution, adopted in Feb., 1799, provided a means by which the states could enforce their decisions by formal nullification of the objectionable laws. The resolutions were submitted to the other states for approval with no real result; their chief importance lies in the fact that they were later considered to be the first notable statements of the states' rights theory of government, a theory that opened the way for the nullification controversy and ultimately for secession.