What does martial law actually do?

[TheDoctorKing]

I know what it says it does. However, in a game I am playing PBEM, we have a house rule that if you put the draft into effect you have to also have martial law or suspension of habeus corpus to enforce it. So I did it, but my loyalties still seem to be above 75% and I still seem to be getting VP's. Does it take a while to take effect?

[Pocus]

The loyalty will lower by 1% per turn yes, but only where you have armed forces.

[TheDoctorKing]

The loyalty will lower by 1% per turn yes, but only where you have armed forces.

Presumably including the locked city militia and garrison units? Or only mobile units?

And the increase by 1% to a minimum of 25% in enemy-loyal territory works the same way?

[Pocus]

Yes to both