At Ritchie's General Store in Ashley, CA, Myra Ritchie watches from the window as four men ride into town. She goes into the real estate office and tells her father Henry that his gunmen are there, and that he can still reconsider. Henry refuses and says if they can't do the job, he's hired another one. He shows her the other gunman's business card and Myra admits she's ashamed of him. The lead gunman, Joe Marsh, comes in and leers at Myra. She sends Marsh in and then looks at the business card… for Paladin.
Paladin rides into town and hears an explosion in the distance. He walks past Marsh's fellow gunmen and goes into the general store. Myra finds him mildly attractive until she discovers who he is. She tells her father, who agrees to see him and orders Marsh out when he starts acting overconfident. Paladin goes in and introduces himself, and warns that Marsh isn't to be trusted. Henry admits he has little choice, and explains that the town and nearby Central City are contesting the water rights. They've hired an engineer, Mike O'Hare, to build a dam. When the dam goes up, it will cut off their irrigation supply. Henry wants the construction stopped but no killing, and Paladin warns that a man that tough won't be intimidated by Marsh, and Marsh only understands the gun. He admits he doesn't know how he'll solve the problem, but assures Henry that in two weeks, Central City will be looking for a new source of water. When Henry is reluctant, Paladin offers to explain it to Marsh himself.
The gunslinger goes outside and breaks the news to Marsh, who insists he should be paid. Henry pays him but Marsh says he and his boys will stick around in case the job comes up again. O'Hare rides into town alone and Paladin notes that he's carrying a gun. Paladin gives Henry his gun as O'Hare dismounts and drops off his mail. He then tells Henry his men want to come in town to buy things, but Henry refuses to sell and warns that things are going to be different. The engineer warns Paladin away from the construction site. As he rides off, he tells Henry that if any of his men get hurt, he'd better watch out.
Henry introduces the leading citizens to Paladin, and they offer to double his fee if he pulls it off without killing anyone. Henry seizes on Paladin's suggests that he blow the dam and wash O'Hare's men out, but Paladin warns that he'll only consider the idea for now. He tells Henry to leave him alone so he can handle it the way he wants.
That night, Paladin approaches O'Hare's camp in the rain and watches as they men secure the cement so it doesn't get wet. He sneaks into the storage tent, cuts open the bags of cement, mixes in their supply of bullets, and cuts open the roof to the elements.
The next day, O'Hare and his men ride in and the engineer says that Henry will pay for the destruction of his supplies. Henry directs him to Paladin. The engineer admits he's impressed, but insists that he builds things while people like Paladin destroy them. O'Hare removes his gun belt and punches Paladin. The two men struggle briefly and Paladin easily subdues O'Hare. The engineer rides off and one of the citizens, Gardner, wonders if he can fight without gun. Paladin responds by punching him unconscious. Henry isn't sure what's going on, but Myra insists that now there's a man in town.
The next night, Paladin rides off and Henry wonders why he didn't settle the matter when he had O'Hare at his mercy. Myra wonders if he really wants Paladin to beat up an old man.
At the construction camp, Paladin calls out and asks for permission to enter. O'Hare lets him come in and warns he doesn't like using a gun, but he can hardly miss at that distance. Paladin demonstrates that he's too close but lets him keep his revolver. They go to O'Hare's tent and the engineer asks what he wants and why he didn't mop the streets with him. Paladin admits that he likes builders, and wonders why O'Hare is making demands. O'Hare explains that he offered the citizens of Ashley twice the value of their land, and had the legislature set aside fertile land for them upstate as extra compensation. Paladin wonders if the people of Ashley know about his offer, and the engineer says they received a letter from the state capital two months earlier. Henry has one letter. O'Hare doesn't have a copy, but can get one in no more than two days. He insists that he wants to make the place a new Rome, but first they need water.
Paladin returns to see Henry and asks about the letter. Henry initially denies it but Paladin wonders if the townsfolk know about O'Hare's letter. His employer says that he helped build the town of Ashley and nobody's going to take it away from him. Henry isn't as young as he was when he built the town, and can't do it again. He admits he tore up the letter, and Paladin insists he doesn't have the right to decide for his neighbors. Henry tells him he'll be paid for his expenses but he's no longer needed. As Paladin goes, Myra warns him that Henry will turn to Marsh, and suggests that Paladin talk to the gunman first. Paladin warns that if he does, that will cause shooting.
Paladin rides out to the construction camp and joins forces with O'Hare. The engineer warns that they're low on ammo thanks to Paladin's sabotage, but the gunslinger figures that they'll be able to spot Marsh and his men.
Later, Marsh and one of his men ride in, carrying two loads of gunpowder. O'Hare's sentry lets them pass and prepares to send a signal, but the other two gunmen knock him out. Two more of O'Hare's men investigate and Marsh's men quickly subdue them. One of the workers fires off a shot. O'Hare has his men mount up and they ride toward the nearby dam. Marsh and the others plant the blasting powder and light the fuse as Paladin arrives and opens fire. He tells O'Hare to cover him while he runs to the dam to put out the fuse. Marsh goes after him and Paladin manages to disarm him and then knock him out after a brief struggle. The gunslinger then gets to the dam and drops the fuse into the water. When the other gunmen try to flee, O'Hare and his men capture them.
The next morning, Paladin and O'Hare ride their captives into Ashley and give Henry the chance to tell the townspeople about the offer. O'Hare admits that he understands, and that Henry and the others will have a prosperous year before they have to move, due to all the supplies O'Hare and his men will buy. Henry says it'll be hard starting over and refuses to shake O'Hare's hand, but Myra shakes it for him. That leaves Marsh, and Paladin tells him to ride far.
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