The ensuing combat in Delaware Bay near Cape May ended with an American victory over a superior British force.
Twenty-three-year-old Lieutenant Joshua Barney of the Continental Navy commanded the privateer sloop Hyder Ally during the battles.
The sloop-of-war was armed with 16 six-pounders and had a crew of about 110 men, officers and marines, and was named after Hyder Ali, the ruler of the Kingdom of Mysore on the Indian subcontinent and a British enemy.
The following morning three British privateers were spotted and Captain Mason signaled them to join him; only Fair American responded.
Lieutenant Barney ordered the merchantmen to flee up Delaware Bay under the protection of General Greene and Charming Sally, while Hyder Ally remained behind to engage the British.
Fortunately for Continental forces, Fair American grounded in shallow water and was put out of the action permanently because of damage to her hull.
Heading forward, Captain Rodgers decided to slow down and launch a boat to take the abandoned Charming Sally, after which he continued on until he caught up with Hyder Ally.
Barney answered with a broadside of grape, canister and round shot that raked the deck of the British sloop, killing some sailors and marines.
Barney ordered his ship to port and unleashed another broadside whose shots passed through the sails and rigging of General Monk and damaged her main and top-gallant masts.
General Monk was captured and Fair American was aground and stranded, so Captain Mason in Quebec fled without actually engaging in the fight.
Charming Sally was captured without a fight, Hyder Ally was damaged considerably, and General Greene was grounded but re-floated after Quebec began her retreat.
The Americans won the day and Lieutenant Joshua Barney was given command of the prize General Monk, which had well over 300 shot-holes in her sides.