In 1569, King John III decided that all Swedish flags used at the peace negotiations with the Danes in Knäred should be blue with a yellow cross, because they had been like that "as of old". However, the first act of law which mentions this flag is a Flag Act of 1663, in which it was decided that merchant ships where not allowed to fly the swallow tailed flag.
Source: Flags of The World (FOTW) website:Flags of Sweden, 16th Century - 1814
Sizes: ensign W12 x L23 mm, mast flags 8 mm square & W8 x L15 mm, jack W6 x L11 mm, pennant W4 x L48 mm.
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