Four years had passed since William lost his powers during the Trial of Courage.
Many things happened in the Hellan Kingdom during this time.
Just like James predicted, after the King had settled the aftermath of the Beast Tide, he sent those who had performed meritorious service to reclaim the lands that had lost their owners.
Due to James' immediate action, Fushia and Xynnar fell under the control of Lont. The nobles made a ruckus, but the king quieted them down with the merits that James had acquired during the battle at Windkeep Citadel.
Of course, that was only the King's excuse. He knew that dealing with James was a pain, so he decided to just turn a blind eye to his actions.