Diego de la Vega returns to California to avenge his father's murder. After assuming the title of Zorro, he confronts the Governor, the malevolent leader of the Chinese community and a secret society, placing the common good above all.
To attract Zorro's attention, Diego and Lolita are held hostage in a robbery at the loan office. Lolita gets injured and Diego questions whether he is up to the task of wearing the mask.