The treaty concluded the Thirteen Years' War (1454-1466) which had begun in February 1454 with the revolt of the Prussian Confederation, led by the cities of Danzig (Gdańsk), Elbing (Elbląg), Kulm (Chełmno) and Thorn, and the Prussian gentry against the rule of the Teutonic Knights in the Monastic state.
Both sides agreed to seek confirmation from Pope Paul III and Holy Roman Emperor Frederick III, but the Polish side stressed (and the Teutonic side agreed) that this confirmation would not be needed for validation of the treaty. In the treaty the Teutonic Order ceded the territories of Pomerelia (Eastern Pomerania) with Danzig, Chełmno Land with Kulm and Thorn, the mouth of the Vistula with Elbing and Marienburg (Malbork), and the Bishopric of Warmia (Ermland) with Allenstein (Olsztyn). The Order also acknowledged the rights of the Polish Crown for Prussia's western half, subsequently known as Polish or Royal Prussia.
As a consequence of the treaty, Warmia became an autonomous region ruled by bishop of Warmia (see Duchy of Warmia). Eastern Prussia, later called Duchy of Prussia remained with the Teutonic Order until 1525 and the grandmaster was supposed to swear a personal oath (the [Prussian homage) to the king of Poland and furnish him with military. In order to avoid giving the oath, the new Grand Masters simply made it their practice not to visit Prussia.
Treaty stated that Royal Prussia became exclusive property of Polish king and Polish kingdom. Later some disagreements arose concerning certain prerogatives that Royal Prussia and the cities held, like Danzig's privileges. While the Polish side considered it simply part of the kingdom, Royal Prussians insisted on and defended their guaranteed autonomy. The government differed from the Polish kingdom, and they had privileges such as the minting of its own coins, meetings of its own Diet (see the Prussian estates), own military and the administrative usage of the German language. Prussians were denied the right to name bishops in Royal Prussia and decided not to take the seats provided for them in the Sejm. This conflict eventually led to the War of the Priests (1467-79). Eventually Royal Prussia would become increasingly integrated into the Polish-Lithuanian Commonwealth, but would retain some distinctive features till the very partitions of Poland in the late 18th century.
In 1525, the Order was ousted from Prussian territory by its own Hochmeister when Albert of Prussia adopted Lutheranism and assumed the title of duke as hereditary ruler under the overlordship of Poland in the Prussian Tribute. The area became known as the Duchy of Prussia, or Ducal Prussia, later East Prussia.