It began on 12 December 1575, when Emperor Maximillian was chosen as monarch by the Polish Senate, while the majority of the szlachta (nobility) had voted for Bathory.

With neither side being able to defeat the other militarily, a compromise was reached, with economic as well as religious[2] privileges of the city being restored and recognized, in return for a large reparation and recognition of Bathory as Grand Duke of western Prussia.

The town whose economic privileges were reduced by the Karnkowski Statutes, wanted to use the situation to regain its preferential position within the Polish Crown.

While some Polish privateer ships fought the Gdańsk and Danish-Norwegian fleets, for the most part the control of the Baltic Sea belonged to the Danzigers and their allies.

[7][18] After the battle, the Danzig forces retreated behind the walls, citizens pulled down trees and houses in front of fortifications[19][20] and a siege began.

[15] A surprise attack by the Danzigers managed to destroy two-thirds of the Polish artillery, vastly slowing the progress of the siege.

Their troops that landed were soon pushed back by Bathory's Hungarian infantry under Kacper Bekiesza, and the city council send a note thanking the King.

[25] The siege and all economic restrictions that were passed in the past two years were lifted in return for reparations and recognition of Bathory as the sovereign.

The city, in turn, recognized him as ruler of Poland and promised to pay the large sum of 200,000 złotys and an additional 20,000 repatriation to the abbey of Oliwa in five years.