The Conservative party issued from the general elections of 1844 with a bare majority in the House, which seldom exceeded six and sometimes sank to two or three. Early in that year the seat of government had been removed from Kingston to Montreal. The first { 19} session of the new parliament--the parliament in which Macdonald had his first seat--was held in the old Legislative Building which occupied what was afterwards the site of St Anne's Market. In those days the residential quarter was in the neighbourhood of Dalhousie Square, the old Donegana Hotel on Notre Dame Street being the principal hostelry in the city. There it was that the party chiefs were wont to forgather. That Macdonald speedily attained a leading position in the councils of his party is apparent from the fact that he had not been two years and a half in parliament when the prime minister, the Hon. W. H. Draper, wrote him (March 4, 1847) requesting his presence in Montreal. Two months later Macdonald was offered and accepted a seat in the Cabinet.
Almost immediately after Macdonald's admission to the Cabinet, Draper retired to the bench. He was succeeded by Henry Sherwood, a scion of the 'Family Compact,' whose term of office was brief. The elections came on during the latter part of December, and, as was very generally expected,[3] the { 20} Sherwood Administration went down to defeat. In Lower Canada the Government did not carry a single French-Canadian constituency, and in Upper Canada they failed of a majority, taking only twenty seats out of forty-two. In accordance with the more decorous practice of those days, the Ministry, instead of accepting their defeat at the hands of the press, met parliament like men, and awaited the vote of want of confidence from the people's representatives. This was not long in coming; whereupon they resigned, and the Reform leaders Baldwin and LaFontaine reigned in their stead.
The events of the next few years afford a striking example of the mutability of political life. Though this second Baldwin-LaFontaine Administration was elected to power by a large majority--though it commanded more than five votes in the Assembly to every two of the Opposition--yet within three years both leaders had withdrawn from public life, and Baldwin himself had sustained a personal defeat at the polls. The Liberal Government, reconstituted under Sir Francis Hincks, managed to retain office for three years more; but it was crippled throughout its whole term by the most bitter internecine feuds, and it fell { 21} at length before the assaults of those who had been elected to support it. The measure responsible more than any other for the excited and bitter feeling which prevailed was the Rebellion Losses Bill. There is reason to believe that the members of the Government, or at any rate the Upper-Canadian ministers, were not at any time united in their support of the Bill. But the French vehemently insisted on it, and the Ministry, dependent as it was on the Lower-Canadian vote for its existence, had no choice. The Bill provided, as the title indicates, for compensation out of the public treasury to those persons in Lower Canada who had suffered loss of property during the rebellion. It was not proposed to make a distinction between loyalists and rebels, further than by the insertion of a provision that no person who had actually been convicted of treason, or who had been transported to Bermuda, should share in the indemnity. Now, a large number of the people of Lower Canada had been more or less concerned in the rebellion, but not one-tenth of them had been arrested, and only a small minority of those arrested had been brought to trial. It is therefore easy to see that the proposal was calculated { 22} to produce a bitter feeling among those who looked upon rebellion as the most grievous of crimes. It was, they argued, simply putting a premium on treason. The measure was fiercely resisted by the Opposition, and called forth a lively and acrimonious debate. Among its strongest opponents was Macdonald. According to his custom, he listened patiently to the arguments for and against the measure, and did not make his speech until towards the close of the debate.