Lucia the pirate has attacked the first tax boat to enter the new port of Los Angeles. Zorro makes an uneasy truce with the female pirate to get back the taxes for the people.
When the people object to Captain Ramon's new dam, he locks up the ringleader and decides to deprive them of it's water all together. But Zorro and Amigo intend to free Angelo Rigos as well as enough explosives to get rid of the dam.
Three Spanish ships carrying furniture, cannons and immigrants are blockaded by French ships so they cannot enter the port of Los Angeles. The Governor and Captain Ramon ask Zorro for help, who in turn asks Lucia the pirate to aid him.
Zorro is accused of stealing chickens, horses, cattle and going on a rampage. Even Don Alejandro believes Zorro has turned bad. Only one young boy knows the truth.
