The Empire disintegrated with the death of Rax, the disappearance of Sloane, and the failure of the Imperial counteroffensive which ended with the loyalists' catastrophic defeat in the Battle of Jakku.
The Empire forever changed as it was pushed back to a handful of sectors on the fringe of the Outer Rim, containing only a small fraction of the galaxy's population and industrial base. These sectors were a heavily fortified final redoubt, and the New Republic deemed that they posed too minor of a threat to justify the high cost in life that liberating them would require.
The New Republic then forced Grand Vizier Amedda to capitulate the Empire and settle for the Galactic Concordance on Chandrila, a humiliating armistice agreement which imposed strict disarmament plans and punishing reparations on the Empire. Treaty stipulations included outlawing the recruitment and mobilization of the Stormtrooper Corps, paying heavy war reparations, adhering to strict disarmament treaties, abandoning the numerous Imperial Academies scattered across the Empire, banning torture, and ceding its capital of Coruscant to the Republic.
Chancellor Mothma then issued another declaration designating all surviving officers war criminals, though she granted conditional pardons to all civilian functionaries including Amedda, provided they complied with the Concordance. While regulating what remained of the Empire's once-mighty military-industrial complex, thus limiting its ability to wage war, the treaty did permit elements of the Imperial Navy to remain in pre-determined boundaries in the Core Worlds and the Inner Rim.
At the command of the Republic, they were recalled to the Core; however, some did not obey.
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