Thomas Paine was referring to the Declaratory Act of 1766, which asserted the British Parliament's authority to make laws binding the American colonies "in all cases whatsoever." This act came after the repeal of the Stamp Act, and it emphasized Parliament's right to legislate for the colonies, leading Paine to argue that it undermined colonial autonomy and rights. Paine's criticism highlighted the growing tension between Britain and the colonies, ultimately contributing to the drive for independence.
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