Ibarra resolves to forego all quarrels and to work for the betterment of his people. To show his good intentions, he seeks to establish, at his own expense, a public school in his native town. He meets with ostensible support from all, especially Padre Damaso's successor, a young and gloomy Franciscan named Padre Salvi, for whom Maria Clara confesses to an instinctive dread.
At the laying of the corner-stone for the new schoolhouse a suspicious accident, apparently aimed at Ibarra's life, occurs, but the festivities proceed until the dinner, where Ibarra is grossly and wantonly insulted over the memory of his father by Fray Damaso. The young man loses control of himself and is about to kill the friar, who is saved by the intervention of Maria Clara.
Ibarra is excommunicated, and Capitan Tiago, through his fear of the friars, is forced to break the engagement and agree to the marriage of Maria Clara with a young and inoffensive Spaniard provided by Padre Damaso. Obedient to her reputed father's command and influenced by her mysterious dread of Padre Salvi, Maria Clara consents to this arrangement, but becomes seriously ill, only to be saved by medicines sent secretly by Ibarra and clandestinely administered by a girl friend.
Ibarra succeeds in having the excommunication removed, but before he can explain matters an uprising against the Civil Guard is secretly brought about through agents of Padre Salvi, and the leadership is ascribed to Ibarra to ruin him. He is warned by a mysterious friend, an outlaw called Elias, whose life he had accidentally saved; but desiring first to see Maria Clara, he refuses to make his escape, and when the outbreak
