The Treaty of Madrid (also known as the Godolphin Treaty) adopted in 1670 was a treaty between England and Spain. Under the terms of the treaty, Spain recognized English possessions in the Caribbean Sea: "all those lands, islands, colonies and places whatsoever situated in the West Indies." England took formal control of Jamaica and the Cayman Islands after the treaty was signed.[1] Spain also agreed to permit English ships freedom of movement in the Caribbean. Each country agreed to refrain from trading in the other's territory.
The boundary created by this treaty was at latitude 32ยบ 30", where the present-day boundary between Georgia and South Carolina lies, extending west roughly from modern Hilton Head[2]
The Treaty of Madrid was created because there was a lot of turmoil between Spain and Portugal. It was created by the Pope to settle the differences and let Spain have half and Portugal have half of South America. The bad news was that Portugal would take the natives as their slaves while Spain could not so the natives were safe with Spain but Spain was secretly buying and selling slaves to a from Portugal.