Treaty of Zaragoza

The Treaty of Zaragoza settled a dispute between Spain and Portugal over the Moluccas, the Spice Islands in Southeast Asia. The earlier Treaty of Tordesillas had divided the world between the two powers along a line in the Atlantic, but no one could measure longitude accurately on the other side of the globe. After Magellan's expedition reached the Moluccas under the Spanish flag, both countries claimed them. In the treaty, Charles V of Spain, who needed money, gave up his claims to the islands in return for a large payment of 350,000 ducats from John III of Portugal, and a new line of division was drawn in the Pacific. Spain kept the Philippines in practice, which Portugal did not contest.

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