Iberian Union
The residents of Terceira, who mostly settled in Porto Judeu and Praia da Vitória and along the coastline, took a brave stand against King Philip II of Spain upon his ascension to the Portuguese throne in 1580. They, along with most of the rest of the Azores, believed that António, Prior of Crato was the rightful successor, and defeated the Spanish at the Battle of Salga in 1581.
In 1583, Philip tried again at defeating the Azoreans. He sent his combined Iberian fleet to clear the French traders from the Azores, decisively hanging his prisoners-of-war from the yardarms and contributing to the "Black Legend". The Azores were the second-to-last part of the Portuguese empire to resist Philip's reign over Portugal (Macau being the last), Azores was returned to Portuguese control with the end of the Iberian Union, not by the military efforts, as these were already in Restoration War efforts in the mainland, but by the people attacking a well-fortified Castilian guarnition.
The Azores served as a port of call for the Spanish galleons during their occupation. In December of 1640 the Portuguese monarchy was restored and the islands again became a Portuguese possession.
Read more about this topic: History Of The Azores
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“If in madness of delusion, anyone shall lift his parricidal hand against this blessed union ... the arms of thousands will be raised to save it, and the curse of millions will fall upon the head which may have plotted its destruction.”
—Andrew Jackson (17671845)