At the time of his resignation, Reid was the leader of the Free Trade Party and the first Australian Opposition Leader. He resigned in protest on the day that a bill was passed in the parliament regarding the allocation of electoral boundaries for the state of New South Wales.[1]
Reid was returned as member for East Sydney with an increased majority. He was the first member of the House of Representatives to resign, and was the only person in federal parliamentary history to win back their own seat in a by-election after resigning until John Alexander did the same at the Bennelong by-election.