The Prime Minister of Quebec and the leader of the separatist Parti Quebecois, Mr Lucien Bouchard, has resigned, amid signs that he was no longer willing to face down hardliners in his party.
In recent weeks Mr Bouchard has been under intense pressure following the poor performance of the separatist Bloc Quebecois party in the federal election.
The future of the separatist movement, which wants to see Quebec become independent from Canada, is now in doubt. The nature of relations between Canada and Quebec is also in doubt, with no one sure of the future direction likely to be taken by the next leader. Mr Bouchard leaves a solid political legacy including eliminating the budget deficit, achieved while apparently putting the sovereignty issue to one side.
But it seems that the issue of independence for Quebec, which defines his party, is ultimately to blame for his departure. Hardliners have said since he was elected in 1995 that he was not pushing hard enough towards independence.
Quebeckers are equally divided between separatists and federalists who want to remain part of Canada. But most ordinary people are united in not wanting to go through another traumatic referendum campaign which caused tremendous personal anguish for many.
The final straw that led to Mr Bouchard's resignation could have been another twist in a controversy which has already split the PQ down the middle. Just before Christmas Mr Bouchard tried to block the hardline sovereignist, Mr Yves Michaud, from becoming a parliamentary candidate after he made a series of anti-Semitic comments. The remarks were quickly condemned by the Quebec National Assembly.
But many prominent Pequistes, as members of the PQ are called, have backed Mr Michaud, including many of the hardliners known as the Montreal Militants, and the former premier, Mr Jacques Parizeau, who lost the last referendum in 1995 by a wafer-thin margin.
People who know Mr Bouchard well say he was personally very hurt to discover once again that so many in his party were prepared to make anti-Semitic attacks in their efforts to promote the cause of French-speaking Canada.
But personal factors could also be involved in his decision. He has two young children and an American wife who is rumoured to want to move to California.
The Federal Industry Minister, Mr Brian Tobin, said yesterday he felt Mr Bouchard was forced to resign as a result of the Clarity Act which was passed last year, which spelled out the terms under which provinces could leave the federation. He said he felt Canada could now enter a period of political stability in its relations with Quebec.
But that will depend on who takes over. The most likely candidate is the Deputy Prime Minister, Mr Bernard Landry, who was the first to confirm Mr Bouchard's resignation. But he would probably face the same struggle to keep the hardline sovereignists happy, while appeasing the more moderate forces inside and outside his party.