The bitter struggles, desperate sieges, and bloody reprisals of these dark years came to a close with the expeditions of Clark and Logan in November, 1782, which appropriately concluded the Revolution in the West by putting a definite end to all prospect of formidable invasion of Kentucky.
In November, 1777, "Washington District," the delegates of which had been received in the preceding year by the Provincial Congress of North Carolina, was formed by the North Carolina General Assembly into Washington County; and to it were assigned the boundaries of the whole of the present state of Tennessee.
While this immense territory was thus being definitely included within the bounds of North Carolina, Judge Henderson on behalf of the Transylvania Company was making a vigorous effort to secure the reestablishment of its rights from the Virginia Assembly.

By order of the Virginia legislature, an exhaustive investigation of the claims of the Transylvania Company was therefore made, hearings being held at various points in the back country.

On July 18, 1777, Judge Henderson presented to the peace commissioners for North Carolina and Virginia at the Long Island treaty ground an elaborate memorial in behalf of the Transylvania Company, which the commissioners unanimously refused to consider, as not coming under their jurisdiction.

Finally, after a full and impartial discussion before the Virginia House of Delegates, that body declared the Transylvania purchase void.

But in consideration of "the very great expense [incurred by the company] in making the said purchase, and in settling the said lands, by which the commonwealth is likely to receive great advantage, by increasing its inhabitants, and establishing a barrier against the Indians," the House of Delegates granted Richard Henderson and Company two hundred thousand acres of land situated between the Ohio and Green rivers, where the town of Henderson, Kentucky, now stands.