But with the spring of 1607 came news which quickly put an end to all this optimism. Rival merchants had been clamoring against the monopoly of the De Monts company. Despite the fact that De Monts was a Huguenot and thus a shining target for the shafts of bigotry, these protests had for three years failed to move the King; but now they had gained their point, and the monopoly had come to an end. This meant that there would be no more ships with settlers or supplies. As the colony could not yet hope to exist on its own resources, there was no alternative but to abandon the site and return to France, and this the whole party reluctantly proceeded to do.
On arrival in France the affairs of the company were wound up, and De Monts found himself a heavy loser. He was not yet ready to quit the game, however, and Champlain with the aid of Pontgrave was able to convince him that a new venture in the St. Lawrence region might yield profits even without the protection of a monopoly. Thus out of misfortune and failure arose the plans which led to the founding of a permanent outpost of empire at Quebec.
In the spring of 1608 Champlain and Pontgrave once again set sail for the St. Lawrence. The latter delayed at the Saguenay to trade, while Champlain pushed on to the site of the old Stadacona, where at the foot of the cliff he laid the foundations of the new Quebec, the first permanent settlement of Europeans in the territory of New France. On the shore below the rocky steep several houses were built, and measures were taken to defend them in case of an Indian attack. Here Champlain’s party spent the winter of 1608-1609.
With the experience gained at St. Croix and Port Royal it should have been possible to provide for all eventualities, yet difficulties in profusion were encountered during these winter months. First there was the unearthing of a conspiracy against Champlain. Those concerned in it were speedily punished, but the execution of the chief culprit gave to the new settlement a rather ominous beginning. Then came a season of zero weather, and the scurvy came with it. Champlain had heard of the remedy used by Cartier, but the tribes which had been at Stadacona in Cartier’s time had now disappeared, and there was no one to point out the old-time remedy to the suffering garrison. So the scourge went on unchecked. The ravages of disease were so severe that, when a relief ship arrived in the early summer of 1609, all but eight of Champlain’s party had succumbed.