In order to encourage emigration and the establishment of colonies, the authorities in Holland issued a charter, conferring large extents of land and exclusive privileges, upon such members of the West India Company as might undertake to settle any colony in New Netherland.
"All such," it was proclaimed in this charter, "shall be acknowledged _Patroons_ of New Netherland, who shall, within the space of four years, undertake to plant a colony there of fifty souls upwards of fifteen years of age.
The Patroons, by virtue of their power, shall be permitted, at such places as they shall settle their colonies, to extend their limits four miles[3] along the shore, and so far into the country as the situation of the occupiers will admit." The patroons, thus in possession of territory equal to many of the dukedoms and principalities of Europe, were invested with the authority which had been exercised in Europe by the old feudal lords.
They could settle all disputes, in civil cases, between man and man.
They could appoint local officers and magistrates, erect courts, and punish all crimes committed within their limits, being even authorized to inflict death upon the gallows.

They could purchase any amount of unappropriated lands from the Indians.
One of these patroons, Kiliaen Van Rensselaer, a wealthy merchant in Holland, who had been accustomed to polish pearls and diamonds, became, as patroon, possessed of nearly the whole of the present counties of Albany and Rensselaer, in the State cf New York, embracing the vast area of one thousand one hundred and forty-one square miles.
Soon all the important points on the Hudson River and the Delaware were thus caught up by these patroons, wealthy merchants of the West India Company.
When the news of these transactions reached Holland, great dissatisfaction was felt by the less fortunate shareholders, that individuals had grasped such a vast extent of territory.

It was supposed that Director Minuit was too much in sympathy with the patroons, who were becoming very powerful, and he was recalled.

All were compelled to admit that during his administration the condition of the colony had been prosperous.

The whole of Manhattan Island had been honestly purchased of the Indians.