I think minor races are limited in their colonization. They can't leave their initial sector except with certain special events (such as the appearance of the I-League. They don't approach you with trade offers that I've seen, (but I've only finished 4 games).
Thanks Jeff, I had the same thing happen in my last game which I won by military conquest. I had one rebellious system in a sector with two other inhabited systems owned by me and I possessed the only starbase in the sector. No matter how much I boosted morale with buildings, propaganda, and starbase modules, the rebellion icon never left. I had battle hammers parked in orbit as well. I even tried stripping off population without success. As long as it's just a bug I won't w
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