Netherlands, finding themselves prosperous in their old homes, saw no reason for emigrating, and few offered themselves for the overseas settlements. The West India Company was not inclined to involve itself in further expense for colonization, and matters threatened to come to a halt, when someone, very likely the shrewd Kiliaen himself, evolved the plan of granting large estates to men willing to pay the cost of settling and operating them. From this suggestion the scheme of patroonship was developed.

The list of "Privileges and Exemptions" published by the West India Company in 1629 declared that all should be acknowledged patroons of New Netherland who should, within the space of four years, plant there a colony of fifty souls upwards of fifteen years old. "The island of the Manhattes" was reserved for the Company. The patroons, it was stipulated, must make known the situation of their proposed settlements, but they were allowed to change should their first location prove unsatisfactory. The lands were to extend sixteen miles along the shore on one side of a navigable river, or eight miles on both sides of a river, and so far into the country as the situation of the colonies and their settlers permitted. The patroons were entitled to dispose of their grants by will, and they were free to traffic along the coast of New Netherland for all goods except furs, which were to be the special perquisite of the West India Company. They were forbidden to allow the weaving of linen, woolen, or cotton cloth on their estates, the looms in Holland being hungry for raw material.

The Company agreed that it would not take any one from the service of the patroon during the years for which the servant was bound, and any colonist who should without written permission enter the service of another patroon or "betake himself to freedom" was to be proceeded against with all the available force of the law. The escaped servant would fare ill if his case came before the courts, since it was one of the prerogatives of a patroon to administer high, middle, and low justice—that is, to appoint magistrates and erect courts which should deal with all grades of crimes committed within the limits of the manor and also with breaches of the civil law. In civil cases, disputes over contracts, titles, and such matters, where the amount in litigation exceeded twenty dollars, as well as in criminal cases affecting life and limb, it was possible to appeal to the Director and Council at Fort Amsterdam; but the local authorities craftily evaded this provision by compelling their colonists to promise not to appeal from the tribunal of the manor.

The scherprechter, or hangman, was included with the superintendent, the schout fiscaal, or sheriff, and the magistrates as part of the manorial court system. One such scherprechter named Jan de Neger, perhaps a freed negro, is named among the dwellers at Rensselaerswyck and we find him presenting a claim for thirty-eight florins ($15.00) for executing Wolf Nysen.

No man in the manorial colony was to be deprived of life or property except by sentence of a court composed of five people, and all accused persons were entitled to a speedy and impartial trial. As we find little complaint of the administration of justice in all the records of disputes, reproaches, and recriminations which mark the records of those old manors, we must assume that the processes of law were carried on in harmony with the spirit of fairness prevailing in the home country.

Even before the West India Company had promulgated its charter, a number of rich merchants had availed themselves of the opportunity to secure lands under the offered privileges and exemptions. Godyn and Blommaert, in association with Captain David de Vries and others, took up a large territory on Delaware Bay, and here they established a colony called "Swannendael," which was destroyed by the Indians in 1632. Myndert Myndertsen established his settlement on the mainland behind Staten Island, and his manor extended from Achter Kul, or Newark Bay, to the Tappan Zee.

One of the first patents recorded was granted to Michiel Pauw in 1630. In the documentary record the Director and Council of New Netherland, under the authority of their High Mightinesses, the Lords States-General and the West India Company Department of Amsterdam, testify to the bargain made with the natives, who are treated throughout with legal ceremony as if they were high contracting parties and fully capable of understanding the transaction in which they were engaged. These original owners of the soil appeared before the Council and declared that in consideration of certain merchandise, they agreed to "transfer, cede, convey and deliver for the benefit of the Honorable Mr. Michiel Paauw" as true and lawful freehold, the land at Hobocan Hackingh, opposite Manhattan, so that "he or his heirs may take possession of the aforesaid land, live on it in peace, inhabit, own and use it ... without that they, the conveying party shall have or retain the least pretension, right, power or authority either concerning ownership or sovereignty; but herewith they desist, abandon, withdraw and renounce in behalf of aforesaid now and forever totally and finally."

It must have been a pathetic and yet a diverting spectacle when the simple red men thus swore away their title to the broad acres of their fathers for a consideration of beads, shells, blankets, and trinkets; but, when they listened to the subtleties of Dutch law as expounded by the Dogberrys at Fort Amsterdam, they may have been persuaded that their simple minds could never contend with such masters of language and that they were on the whole fortunate to secure something in exchange for their land, which they were bound to lose in any event.

It has been the custom to ascribe to the Dutch and Quakers the system of paying for lands taken from the Indians. But Fiske points out that this conception is a mistake and he goes on to state that it was a general custom among the English and that not a rood of ground in New England was taken from the savages without recompense, except when the Pequots began a war and were exterminated. The "payment" in all cases, however, was a mere farce and of value only in creating good feeling between savages and settlers. As to the ethics of the transaction, much might be said on both sides. The red men would be justified in feeling that they had been kept in ignorance of the relative importance of what they gave and what they received, while the whites might maintain that they created the values which ensued upon their purchase and that, if they had not come, lands along the Great River would have remained of little account. In any case the recorded transaction did not prove a financial triumph for the purchaser, as the enterprise cost much in trouble and outlay and did not meet expenses. The property was resold to the Company seven years later—at a price, however, of twenty-six thousand guilders, which represented a fair margin of profit over the "certain merchandise" paid to the original owners eight years earlier.

Very soon after the purchase of the land on the west shore of the North River, Pauw bought, under the same elaborate legal forms, the whole of Staten Island, so called in honor of the Staaten or States-General. To the estate he gave the title of Pavonia, a Latinized form of his own name. Staten Island was subsequently purchased from Pauw by the Company and transferred (with the exception of the bouwerie of Captain De Vries) to Cornelis Melyn, who was thus added to the list of patroons. Other regions also were erected into patroonships; but almost all were either unsuccessful from the beginning or short-lived.