When Xena is summoned to the distant kingdom of Chin to kill the Green Dragon, a task she left undone years before, she tells Gabrielle about her past in Chin in an attempt to justify why she must commit murder.

After Gabrielle's betrayal of Xena's murderous intentions, Xena is imprisoned by the Green Dragon and sentenced to die, and she reminisces about Lao Mao's teachings and the debt owed to her.

In Part 1 of a two-part series finale, Xena learns that an army led by a samurai ghost is threatening the Japanese city of Higuchi. She also discovers that because of her past actions with Borias, she is responsible for the warrior's rise to power. Accompanied by Gabrielle, Xena sets out to save the city and make amends for her past.