Generals Greene, Wayne, and Lafayette were in the minority in the council, and subsequently gave separately the same opinion in writing, that the rear of the enemy should be attacked by a strong detachment, while the main army should be so disposed as to give a general battle, should circumstances render it advisable. As this opinion coincided with his own, Washington determined to act upon it. Sir Henry Clinton in the meantime had advanced to Allentown, on his way to Brunswick, to embark on the Raritan. Finding the passage of that river likely to be strongly disputed by the forces under Washington, and others advancing from the north under Gates, he changed his plan, and turned to the right by a road leading through Freehold to Navesink and Sandy Hook; to embark at the latter place.

Washington, no longer in doubt as to the route of the enemy's march, detached Wayne with one thousand men to join the advanced corps, which, thus augmented, was upwards of four thousand strong. The command of the advance properly belonged to Lee as senior major-general; but it was eagerly solicited by Lafayette, as an attack by it was intended, and Lee was strenuously opposed to everything of the kind. Washington willingly gave his consent, provided General Lee were satisfied with the arrangement. The latter ceded the command without hesitation. Scarce, however, had he relinquished the command, when he changed his mind. In a note to Washington he declared that, in assenting to the arrangement, he had considered the command of the detachment one more fitting a young volunteering general than a veteran like himself, second in command in the army. He now viewed it in a different light. Lafayette would be at the head of all the Continental parties already in the line; six thousand men at least; a command next to that of the commander-in-chief. Should the detachment march, therefore, he entreated to have the command of it.

Washington was perplexed how to satisfy Lee's punctilious claims without wounding the feelings of Lafayette. A change in the disposition of the enemy's line of march furnished an expedient. Sir Henry Clinton, finding himself harassed by light troops on the flanks, and in danger of an attack in the rear, placed all his baggage in front under the convoy of Knyphausen, while he threw the main strength of his army in the rear under Lord Cornwallis. This made it necessary for Washington to strengthen his advanced corps; and he took this occasion to detach Lee, with Scott's and Varnum's brigades, to support the force under Lafayette. As Lee was the senior major-general, this gave him the command of the whole advance. Washington explained the matter in a letter to the marquis, who resigned the command to Lee when the latter joined him on the 27th. That evening the enemy encamped on high ground near Monmouth Court House. Lee encamped with the advance at Englishtown, about five miles distant. The main body was three miles in his rear.

About sunset Washington rode forward to the advance, and anxiously reconnoitred Sir Henry's position. It was protected by woods and morasses, and too strong to be attacked with a prospect of success. Should the enemy, however, proceed ten or twelve miles further unmolested, they would gain the heights of Middletown, and be on ground still more difficult. To prevent this, he resolved that an attack should be made on their rear early in the morning, as soon as their front should be in motion. This plan he communicated to General Lee, in presence of his officers, ordering him to make dispositions for the attack keeping his troops lying on their arms, ready for action on the shortest notice; a disposition he intended to observe with his own troops. This done, he rode back to the main body.

Early in the morning, Washington received an express informing him that the enemy were in motion. He instantly sent orders to Lee to push forward and attack them, unless there should be powerful reasons to the contrary, adding that he was coming on to support him. For that purpose he immediately set forward with his own troops, ordering them to throw by their knapsacks and blankets.

Knyphausen, with the British vanguard, had begun about daybreak to descend into the valley between Monmouth Court House and Middletown. To give the long train of wagons and pack horses time to get well on the way, Sir Henry Clinton with his choice troops remained in camp on the heights of Freehold, until eight o'clock, when he likewise resumed the line of march toward Middletown.

In the meantime, Lee had advanced with the brigades of Wayne and Maxwell, to support the light troops engaged in skirmishing. The difficulty of reconnoitring a country cut up by woods and morasses, and the perplexity occasioned by contradictory reports, embarrassed his movements. Being joined by Lafayette with the main body of the advance, he had now about four thousand men at his command, independent of those under Morgan and General Dickinson. Arriving on the heights of Freehold, and riding forward with General Wayne to an open place to reconnoitre, Lee caught sight of a force under march, but partly hidden from view by intervening woods. Supposing it to be a mere covering party of about two thousand men, he detached Wayne with seven hundred men and two pieces of artillery, to skirmish in its rear and hold it in check; while he, with the rest of his force, taking a shorter road through the woods, would get in front of it, and cut it off from the main body. He at the same time sent a message to Washington, apprising him of this movement and of his certainty of success.

Washington in the meantime was on his march with the main body, to support the advance, as he had promised. The booming of cannon at a distance indicated that the attack so much desired had commenced, and caused him to quicken his march. Arrived near Freehold church, where the road forked, he detached Greene with part of his forces to the right, to flank the enemy in the rear of Monmouth Court House, while he, with the rest of the column, would press forward by the other road.

Washington had alighted while giving these directions, and was standing with his arm thrown over his horse, when a countryman rode up and said the Continental troops were retreating. Washington was provoked at what he considered a false alarm. The man pointed, as his authority, to an American fifer who just then came up in breathless affright. The fifer was ordered into custody to prevent his spreading an alarm among the troops who were advancing, and was threatened with a flogging should he repeat the story. Springing on his horse, Washington had moved forward but a short distance when he met other fugitives, one in the garb of a soldier, who all concurred in the report. He now sent forward Colonels Fitzgerald and Harrison to learn the truth, while he himself spurred past Freehold meeting house. Between that edifice and the morass beyond it, he met Grayson's and Patton's regiments in most disorderly retreat, jaded with heat and fatigue. Riding up to the officer at their head, Washington demanded whether the whole advanced corps were retreating. The officer believed they were.

It seemed incredible. There had been scarce any firing—Washington had received no notice of the retreat from Lee. He was still almost inclined to doubt, when the heads of several columns of the advance began to appear. It was too evident—the whole advance was falling back on the main body, and no notice had been given to him. One of the first officers that came up was Colonel Shreve, at the head of his regiment. Washington, greatly surprised and alarmed, asked the meaning of this retreat. The colonel smiled significantly—he did not know—he had retreated by order. There had been no fighting excepting a slight skirmish with the enemy's cavalry, which had been repulsed.