Setting the scene
George Washington's decision to retire after two terms set a precedent for peaceful succession, but the election of 1796 was the first contested transfer between opposing factions. Vice President John Adams, a Federalist, defeated Democratic-Republican Thomas Jefferson by only three electoral votes.
What happened
Adams took the oath of office on March 4, 1797, in Philadelphia's Congress Hall, becoming the second U.S. president and the first to live in the Executive Mansion later called the White House. Jefferson, his rival, became vice president under the original electoral rules.
Why it still matters
Adams's term navigated the Quasi-War with France, the Alien and Sedition Acts, and bitter press battles with Jefferson, who defeated him in 1800. Memorable detail: Adams and Jefferson both died on July 4, 1826, the fiftieth anniversary of the Declaration Adams had helped champion.
Background
The first peaceful transfer between parties followed later.