Paraguyan ex-Legionnaires, idealistic reformers, and former Lopiztas…

Paraguyan ex-Legionnaires, idealistic reformers, and former Lopiztas had joined in July 1887 to form the Centro Democrático (Democratic Center), a precursor of the Liberal party, to demand free elections, an end to land sales, civilian control over the military, and clean government.

General Bernardino Caballero responds, along with his principal adviser, José Segundo Decoud, and Escobar, by forming the Colorado Party one month later, thus formalizing the political cleavage.

Cándido Bareiro, Francisco Solano-López's ex-commercial agent in Europe, had returned to Paraguay in 1869 and formed a major Lopizta faction.

He had also recruited Caballero, a war hero with close ties to López.

After President Juan Bautista Gil was assassinated in 1877, Caballero had used his power as army commander to guarantee Bareiro's election as president in 1878.

When Bareiro died in 1880, Caballero had seized power in a coup.

He will dominate Paraguayan politics for most of the next two decades, either as president or through his power in the militia.

Liberals have become bitter foes of selling land to foreigners to raise capital, especially after Caballero had rigged the 1886 election to ensure a victory for General Patricio Escobar.