CHIN is jealous of FUNG and invites him to have a duel. FUNG is not frightened and does not retreat. On the other hand, CHIN pretends that he has rectified his evil character so as to Hatter HU\JG but FUNG understands his intension and looks down upon him. WAI returns but she does not give up loving FUNG. She prefers to wait for him. FU is sad to see her choice. YEUNG stays close to WAI to take care of her, hoping that she can recover soon. CHIN convinces HUNG that staying with FUNG cannot bring them happiness. HUNG is convinced and breaks up with FUNG. FUNG is shocked as he thinks that he has been cheated by HUNG and he quarrels with her.