It took place during a time when the English court was perceived by much of the English population to be corrupt, and its traditional name was due to the sincere efforts by its members to reform the government. It had a formidable enemy, however, in prince John of Gaunt, fourth son of Edward III and the effective ruler of England at the time.
Parliament had not met since November of 1373, 2½ years previously, because Edward III and his councillors recognized the danger of calling parliament during a period of dissatisfaction. However, the need for funds was so presssing in 1377 that another Parliament was necessary.
Once the members were assembled, they determined to clean up the corrupt Royal Council. Peter de la Mare, a knight representing Hereford, had been elected as Speaker by the House of Commons, and on the first day he delivered an address criticizing England's recent military failures, condemning the corruption at court, and calling for close scrutiny of the royal accounts. Richard Lyons and Baron Latimer, who were believed to be robbing the treasury, were called before parliament and then imprisoned. The king's mistress Alice of Perrers was called and condemned to seclusion.
John of Gaunt raised the question of the Salic law, which was the basis for Edward III's claim to the French throne, but was unable to sway the assembly to his point of view.
Meanwhile, the eldest prince of the realm, Edward the Black Prince, was dying. Having taken a house in London, he summoned both Edward III and John of Gaunt and made them swear to recognize his son, the future Richard II, as successor to King Edward. Ordinarily, the death of Prince Edward would have made one of Edward's brothers the legal successor. Both Gaunt and the King swore to recognize Richard, and soon after Parliament summoned Richard and acknowledged him as heir to the throne. The members were swayed by the immense prestige of Prince Edward, the country's greatest military hero at the time.
Parliament then imposed a new set of councilors on the King: the earl of March, bishop Courtenay of London, and William of Wykeham.
Parliament was dissolved in July, and the following Fall John of Gaunt attempted to undo its work. He barred the admission of the new councilors assigned to the king. He threw Peter de la Mare into prison at Nottingham. He dismissed the new council and recalled Latimer. Alice Perrers was restored to the company of the king. Gaunt also attacked William of Wykeham.
Gaunt had the Parliament declared unconstitutional and its acts removed from the books. Despite this, the public treasured the memory of the reforming Parliament and bestowed upon it the name of the Good Parliament.