ING, the descendent from a long line of bounty hunters continues to ply the same trade for his livelihood. He is approached by a stranger to capture the remnants of the Moon Clan and is promised a substantial reward if he can do so. However, DING's mother wants him married and manages to trap him and held him till the day of his arranged marriage to AI YEE, daughter of a wealthy and respected family. On the wedding day, DING manages to escape with the aid of his cousin, PAK, leaving behind, sight unseen, and the furious bride.

DING, accompanied by PAK, manage to escape. On their way, they encountered CHIU LING, daughter of a Kung Fu master. She entertains a warm regard for DING but he reciprocates by treating her as a friend. AI YEE, angry at her rejection by DING, leaves home, changes her name to SU SU and finds employment in a tavern. One day, DING wanders in and catches sight of SU SU. He is stunned by her heavenly beauty and tries to woo her without realizing that she is the same girl he was supposed to marry. SU SU knows who DING is and proceeds to use his attraction for her to make a fool of him.

CHIU LING, who still harbours romantic thoughts for DING, arranges for him to meet her father, CHIU HUNG, the Kung Fu master. At HUNG's headquarters, DING encounters the stranger who had earlier offered him the reward for capturing the remnants of the Moon Clan. DING discovers that the stranger is actually the right hand man of CHIU HUNG. DING later finds out that SU SU is actually AI YEE, his bride-to-be and is filled with remorse. He seeks forgiveness but AI YEE refuses to entertain the notion.

DING continues to try and woo AI YEE but appears to make little headway. Though secretly fond of DING, AI YEE's pride prevents her from forgiving him. In the meantime, TIEN, a good friend of DING, is falsely accused of having stolen the precious Luminous Pearl and is imprisoned. DING, convinced of TIEN's innocence, sets out to find the real thief.

During the investigation, DING discovers that the real thief of the precious Luminous Pearl is the owner of a gambling den, SETO, who is also a member of the Four Bandits. DING accompanied by CHIU LING, attempts to recover the Pearl. A furious fight ensues in the gambling den, during the course of which CIHIU LING is injured. DING attempts to nurse CHIU LING back to health. However, this is mistaken by AI YEE who had been trailing them, with immune’s jealousy, she leaves in a huff.

SETO, seeking revenge, steals the Golden Hawk, a present from the Emperor to the DING's family, on the birthday of DWG's mother. During DING's attempt to recover the Golden Hawk, he discovers that CHIU HUNG's wife, YU IN, is the leader of the Four Bandits. YU IN finds out that SETO is the trouble maker and kills him in order to prevent the incident getting out of control.. AI YEE and her mother calls on the DING's family on Mrs. DING's birthday. DING seizes this opportunity to ask AI YEE's forgiveness as well as her hand in marriage. AI YEE consents after a show of reluctance.

CHIU LING finds out that AI YEE and DING plan to wed and is overcome with jealousy. She fails in her attempt to separate the two and is confronted by DING who makes her realizes that true love cannot be forced. On .the wedding day, Mrs. AI is hurt and AI YEE thinking that CHIU LING is the course of her mother's injuries, fights her. CHIU LING is injured and DING reprimands AI YEE. Angered, AI YEE stalks out of the house.

AI YEE, on reaching her own house, finds it under attack and members of the household killed. AI YEE manages to escape with her mother and some close followers. TIEN, knowing the incident, arranges a hiding place for them. He then sets to inform DING but on the way, he is mortally wounded by FA, one of the four bandits. TIEN manages to reach DING and convey his message before dying. Angered, DING sets out to seek revenge.

DING, following TIEN's instructions, manages to find AI YEE and her mother. The happy reunion is interrupted when DING inquire about the Moon Clan. Upset, AI YEE retreats back into the hideout and questions her mother of her family's past history. Mrs. AI, reluctantly told her that they are actually the remnants of the Moon Clan, a band of renegades despised by the Kung Fu World which ultimately destroyed the Clan. Mrs. AI carried AI YEE and escaped with a close follower, YAM. AI YEE on learning her true past is disturbed and confused. In the meantime, FA, a member of the Four Bandits, arrives the hideout. Mrs. AI, in order to allow AI YEE and YAM to escape, explodes the hideout, killing herself and FA.

AI YEE seeks to revenge for her mother's death. Led by YAM, they head for the Moon Clan headquarter where she intends to learn the Merciless Sword Skill. However, to learn this skill, she must forgo all ties of kinship. She finally decides to give up the sword skill and seeks DING's assistance instead. Meanwhile, WEI sets a trap to kill DING, but GRU LING is injured by the trap instead. While DING is nursing CHIU LING back to health, AI YEE arrives and mistaken that the two are in love. Aroused and hurt, she then resolves to return to the Moon Clan to practice the Merciless Sword Skill.

CHIU HUNG asks DING to join forces with him under the pretext of eliminating society's bad elements. However, his real purpose is to destroy his opponents and strengthen his own position. DING, not suspecting what a-IIU HUNG is a hypocrite, agrees. In order to eradicate the Moon Clan, CHIU HUNG sends his wife YUE IN to kill AI YEE. In the meantime, AI YEE has learned the first series of the Merciless Sword Skill.

When YUE IN and AI YEE are about to begin their duel, YAM cones on the scene. He realizes that YUE IN is his long lost love and manages to stop the due. AI YEE soon finds out from YUE IN that her father was killed by the hypocrite, CHIU HUNG and vows to kill him. In the meantime, CHIU HUNG realizes that WEI has plans contrary to his own and sends DING to kill WEI. WEI then joins force with AI YEE and plans to use her to kill CHIU HUNG.

The combined forces of WEI and AI YEE converge on CHIU HING's headquarters. In the ensuing battle, AI YEE pushes CHIU WING into a deep chasm and is assumed dead. At this moment, WEI leads the heads of the Martial Arts Community and surrounds AI YEE. AI YEE now realizes WEI's plan of using her to eliminate CHIU HUNG and then destroys her. Although badly injured, Al YEE manages to escape. DING is stricken with sorrow upon learning of CHIU HUNG's death since he has always assumed him to be the righteous fellow. He sets out to find AI YEE.

DING catches up with AI YEE but doesn't have the heart to kill her and let her escape instead. To forestall any pursuit, he informs the other searchers that AI YEE had been killed. WEI finds out that DING has lied and together with the other heads of the Martial Arts Community, manages to find AI YEE. Just about when AI YEE is to be killed, DING intervenes and helps her to escape. Unable to remain in the Martial Arts Community anymore, DING returns home. WEI maligns him and turns public opinion against DING and his family.

The Golden Hawk which is earlier presented to the DING'S family by the Emperor is being confiscated and the DING'S family fined it a disgrace. At this time, a precious treasure is stolen and DING is called on to find it. Anxious to redeem the family's honor, he agrees. DING learns that the precious treasure was taken by one of the Four Bandits, SI MA. However, he is prevented from further investigation by WEI's accusation that he is an accomplish in the theft of the precious treasure. Unable to defend himself, DING is taken back home. His mother allows WEI to search the house in order to prove their innocence. However, evidence is found linking the DINGS with the Moon Clan. Mrs. DING then realizes that the evidence was planted by WEI but cannot prove her innocence and is captured. The rest of the household is killed with the exception of DING who manages to escape.

Meanwhile, WEI and the leaders of the Martial Arts Community keep on searching AI YEE. They soon find hex in a small kingdom embroiled in a civil war. In the ensuing fight, AI YEE's sight is impaired but she manages to reach the Moon Clan headquarter where she had arranged to meet DING.

WEI forces CHIU LING to marry him in order to enable him to become head of the HUNG's headquarter. On the wedding night they have a fight and WEI accidentally kills CHIU LING. In the meantime, CHIU HUNG is actually still alive. He learns of his daughter's death after he escapes from the chasm. He attempts to kill WEI but WEI escapes.

DING attends CHIU LING's funeral and asks CHIU HUNG to release his mother. CHIU HUNG, hoping to eliminate the entire DING family altogether at a later date, agrees. PAK manages to kill WEI in a duel although he is badly wounded. At this stage, DING and AI YEE decide to confront CHIU HUNG together. However, CHIU HUNG has already mastered the Tearless Sword Skill which proves too strong for them. DING and AI YEE are forced to retreat. In order to counter CHIU HUNG's Tearless Sword Skill, AI YEE decides to continue her practice of the Merciless Sword, but DING, fearing the consequences, persuades her to reconsider.

DING learns of a secret manuscript relating to CHIU HUNG's complicity with the Moon Clan. The manuscript is kept at the Shin Lin Temple and DING obtains it after much trial and tribulation. At a gathering of the Martial Arts Community, DING reveals the secret of CHIU HUNG's links with the Moon Clan. CHIU HUNG, unable to deny his involvement, fights his way out and escapes.

DING discovers a methodology to defeat the Tearless Sword in the manuscript and begins to practice. However, AI YEE has more faith in the Merciless Sword Skill and begins practicing the final series. On the day of the duel, DING fights CHIU WING with his newfound technique but is unable to counter him. At this moment, AI YEE appears and kills CHIU HUNG with her Merciless Sword. During the process of mastering the Merciless Sword Skill, AI YEE is somewhat obsessed by the evil skill. She begs DING to kill her but he refuses. Finally, AI YEE decides to hideaway and convalesces. After three months, AI YEE manages to regain a sense of her true self and has a happy reunion with DING.