Several younglings are training at the Jedi Temple on Coruscant under the instruction of Jedi Master Minas Velti when several clone troopers burst into the chamber and open fire on them. Velti cuts down several of the attackers and leads the younglings down a corridor, fighting more clones. Eventually, she succumbs to a blaster wound, and the younglings decide to flee.
Ten years later, the inhabitants of the city of Mos Eisley on the desert world of Tatooine are alerted by the arrival of a black, menacing Imperial shuttle. Several Inquisitors, including the Grand Inquisitor, the Fifth Brother, and the Third Sister disembark from the shuttle. They walk into a saloon and approach the manager, asking if he knows who they are—Jedi hunters. The Grand Inquisitor tells the manager they are investigating rumors of a Jedi hiding in this particular saloon, musing whether the Jedi fugitive is a wanderer who attends to people in need, and asks whether the Jedi would help the manager and risk exposure or hide. The Third Sister hurls a knife at the manager but it is stopped by a young man motioning with the Force. The Inquisitorius stop the man from fleeing and The Grand Inquisitor orders his underlings to prepare the prisoner for interrogation.
When the man defiantly tells the Inquisitors that they are wasting their time and that they will never find all the Jedi, the Third Sister attempts to use her lightsaber to kill the man, but is restricted by the Grand Inquisitor. This results in the would-be fatal strike only burning part of his left shoulder. Using the Force to push away the Third Sister, The man flees from the saloon and the Grand Inquisitor chastises the Third Sister for her recklessness. The Third Sister opines that they should be finding bigger prey, The Grand Inquisitor warns the Third Sister to stop her fixation with Obi-Wan Kenobi or she will be relieved of her duties.
Elsewhere, several workers, including the fugitive Jedi Master Obi-Wan Kenobi, are wrapping up their work day carving up flesh from the remains of a sand whale. One worker, Padu Cherd, complains to the foreman, Groff Ditcher, about his meager wages but is instead assaulted by the burly human; Kenobi duly accepts his wage and rides a hovertrain with the other workers to Anchorhead. He meets up with his eopie steed and rides out into the Jundland Wastes to his shelter cave, where he cooks himself a stew broth. The Jawa, Teeka, visits Kenobi in his cave, presenting him with a toy T-16 skyhopper, for which Kenobi offers to pay 50 credits. After discussing his broken moisture vaporator, Kenobi realizes that Teeka is attempting to sell him parts that the Jawa has stolen from him. The Jawa then shows salvaged components from a Jedi starship that had crashed into the Dune Sea, with Kenobi replying that the Jedi are believed to be extinct.
Later that night, Kenobi is haunted by memories of his former apprentice, Anakin Skywalker; Skywalker's wife, Padmé Amidala; his former Master, Qui-Gon Jinn; and Grand Master Yoda. Kenobi awakens from his dream and reflects on his promise to Master Qui-Gon to train Skywalker as a Jedi. The following day, Kenobi rides his eopie to a rocky hill, from where he watches through a pair of macrobinoculars a young Luke Skywalker and his uncle, Owen Lars at the Lars homestead. He sees Luke run away from the labour on the farm just to try and get a few moments to play. The following night, Kenobi rides through the desert and is met by the young man, Nari, who had escaped the Inquisitors. Nari is delighted to meet Kenobi and pleads for his help, but the Jedi Master urges him to leave and bury his lightsaber in the desert to avoid drawing attention. When Nari asks Kenobi about the people who need them, Kenobi replies that the fight is lost and that the time of the Jedi is over.
Elsewhere on Alderaan, several handmaidens dress a young Princess Leia Organa. Queen Breha Organa enters the room, telling her adoptive daughter that they are going to be late. She asks the servants how they are doing and tells Leia that her sister's family needs their support. She tells Leia not to make anyone cry and promises that there will be sweetmallows at the reception if she behaves herself.
Breha soon discovers that the figure is actually an alien friend of Leia, who remarks that Leia told her she would find it amusing. Breha believes that Leia must be in the cellar, kitchen or in the woods. Meanwhile, Leia runs through the woods with a flying droid L0-LA59. She climbs a tree, which the droid friend follows. Leia counts several ships including a medical freighter, pleasure barge, and a casino ship. The droid chips in agreement. Leia also spots a Tri-Wing S-91x Pegasus Starfighter, believing it to be in use by an Aquillian Ranger, which she believes is scouting for Merson pirates.
Breha soon finds her daughter and tells Leia to climb down. She tells Leia to shut down her droid, Lola, as punishment. Leia obliges. Breha tells Leia that if she behaves as well as she climbed, she would be a senator already. Breha tells Leia that she would have to change in the speeder. Leia grumbles about having to attend the gathering but Breha says that she would miss her. Leia complains that all she gets to do is wave, prompting Breha to tell her adopted daughter to do more than waving. Leia later apologizes to Breha and hugs her, taking the opportunity to snatch back Lola. Unknown to the Organas and their guards, they are being watched by a figure.
Back on Tatooine, Kenobi smuggles more neebray meat and rides on the hovertrain to Anchorhead. He heads to the stable where his eopie is resting. Kenobi is then confronted by Owen Lars, who hurls the skyhopper toy parts on the ground. He tells Ben to stay away from his family and that they don't need anything from him. Kenobi says that it is just a toy. When Owen says that it is a lot more than that, Kenobi replies that there is more to life than his farm. Kenobi tells Owen that Luke needs to see the wider galaxy but Owen reiterates his demand to leave them alone.
When Kenobi asks if Luke is okay, Owen assumes that Kenobi is interested in his nephew's Force-sensitivity. Kenobi replies that it is his responsibility. Owen reminds Kenobi that he is Luke's uncle. Kenobi responds that when the time comes, he must be trained. Owen asks if he means to train Luke like he trained his father Anakin, whom he believes to be dead. Owen is unwilling to let Kenobi make the same mistake twice and warns him to leave Luke on the farm with his family where he belongs. He walks away.
Just then, the Fifth Brother addresses the local inhabitants, telling them that there is a Jedi fugitive on this planet and that they need to know where he is. The Fifth Brother promises that they will be rewarded. However, the Third Sister threatens them with punishment, threatening to cut off hands. The Fifth Brother rebukes her, addressing her as Reva. Ignoring his warnings, the Third Sister adds that chopping people's hands off would remind them about the Empire's authority. When a woman protests that the Empire has no right over the Outer Rim, the Third Sister cuts off her hand.
The Third Sister explains that they are looking for information about a Jedi. She takes an interest in Owen Lars and his family. She asks if he has a Jedi on his farm. Owen replies that he has no love for the Jedi, regarding them as vermin. He says that he kills vermin on his farm. Reva compliments him for loving his family before asking if he thinks that he can protect them from her. The Third Sister then demands that the crowd reveal where the Jedi fugitive is or she will kill Lars and his family.
As the crowd watches in fear and horror, Reva denounces the Jedi as cowards. Kenobi hides in the stable. The Third Sister tells the crowd that the Jedi failed them and abandoned them. She says that there is no point in protecting them since they would not do the same for you. She urges the town inhabitants to save this men and his family before threatening Lars with her lightsaber.
Before the situation can escalate, the Fifth Brother tells Reva to stop and produces a hologram of Nari, telling the locals that they would be rewarded if they cooperate. He orders the Third Sister to stand down. She complies but warns Lars that he won't be so lucky next time. In private, the Fifth Brother chastises the Third Inquisitor for her impulsiveness. Reva is defiant, saying that Tatooine is beneath them. The Fifth Brother replies that the Grand Inquisitor was right about her obsession with Kenobi.
The Fifth Brother believes that Kenobi is gone since they have spent the past ten years looking for him. Reva replies that they have been looking in the wrong places. The Fifth Brother asks what she will gain by capturing him. Reva replies what she is owed before walking away. The Fifth Brother warns the Third Sister about going too far. She counters that he doesn't go far enough before walking away. The Inquisitors' shuttle departs the town. Kenobi thanks Owen for not revealing his presence. Owen replies that he did not do it for him.
On Alderaan, a blue and white shuttle arrives. Senator Bail Prestor Organa is joined by his wife Breha and adoptive daughter Leia. When he asks Leia how her day went, she tells him that she saw a trading ship and an Aquillian Ranger. Breha tells her husband not to encourage Leia too much. The Organas greet their relatives including Leia's aunt Celly Organa, her uncle Kayo Organa and her cousin Niano Organa. They drive in a speeder, greeted by crowds of people.
At a function, Kayo praises the Galactic Empire for lining some pockets after the disaster of the Galactic Republic. Bail expresses concerns about slavery and taxation of the Outer Rim. Kayo says that he didn't come to end slavery, but to eat Bail's food and tells him to save his bleeding heart for the Imperial Senate. Breha offers to serve drinks. While C-3PO is translating for some alien guests, the protocol droid Y-O serves Leia and the children some drinks. Leia thanks the droid, which elicits bemusement from Niano, who regards droids as lower life forms.
Leia retorts that she doesn't need manners when engaging with her cousin Niano. Niano tells Leia that he knows some things about her including why her parents do not allow her to leave Alderaan. He dismisses Leia as not being a real Organa, prompting Leia to tell him that he is scared of his father. Since Niano wants his father to like him, she reasons that he repeats what he says even though he doesn't really know what it means. Leia tells Niano that he is scared of his father and that he has never made one decision for himself in his entire life. She says she can see that even though she doesn't know much about him. Bail and Breha take notice of their adoptive daughter's behavior.
Later, Leia defends her actions towards her cousin Niano, saying that he was being mean to everyone including droids. Breha counsels her adopted daughter to rise above the situation and tells her to apologize. Leia replies that she would rather be devoured by a Jakobeast. After Breha leaves, Bail speaks to his daughter, telling her that he wanted to live way past Kathou when he was her age. Bail says that he wanted to chase purrgil but that when he got older, he had to chase other adventures including Leia's adoptive mother.
Bail tells Leia that her future is in politics, beginning with university and then Junior Senate. Leia says that the Senate is boring and that she doesn't want to be a senator. Bail reassures her that is why she would probably be one of the best senators. Leia says that she is not a real Organa. Bail tells her not to say that and reassures her that she is their child and an Organa in every way. He says that many will look to her for leadership and asks her to imagine the look on her cousin's face when she bosses him around. Bail tells Leia to apologize to Niano before heading downstairs.
Instead of apologizing, Leia heads into the forest. Realizing that Leia has not rejoined them, her adoptive parents send a unit after her. In the forest, Leia encounters a man named Vect Nokru, whom she asks what he is doing here. He replies that he is waiting. When she asks for what, he says for her. Two of Nokru's associates, including a green-skinned alien, corner Leia and she flees into the forest. As Alderaanian guards head into the forest, Leia flees through the forests with her pursuers hot on her trail. Leia approaches one of the Alderaanian guards and asks for help. However, he is shot by Nokru. Leia is then surrounded by her kidnappers, one of whom covers her head with a sack.
On Tatooine, Kenobi receives a distress call from Senator Organa and Queen Breha, who contact him using a portable holoprojector. Bail says that they don't know who the kidnappers are and that they have no leads. Bail says that the kidnappers were lying in wait for their daughter. Breha adds that Leia needs him and that they can't trust anyone else. When Kenobi asks what about the Imperial Senate, Bail says that they can't risk drawing too much attention to their daughter. Kenobi is still reluctant to intervene and suggests that the Organas send a member of their guard or a bounty hunter. Bail reminds her that only Kenobi understands how important Leia is.
Kenobi is reluctant to abandon Luke but Bail reminds him about Leia, stating that she is important as he is. Kenobi says that it has been ten years and that he is not whom he used to be. He asks the Organas to find someone else. Meanwhile, Nokru and his associates lock Leia into a holding cell aboard their starship.
Later, Kenobi continues his work at the meatworks. He travels on a hovertrain to Anchorhead where the Inquisitors have killed the Jedi Nari and hung his body as a warning to the townsfolk. Kenobi is saddened by the death of the Jedi and returns to his cave. The vaporator droid buzzes red. Inside the cave, Kenobi is greeted by a cloaked figure who reveals himself as Bail Organa. Bail tells Kenobi that Leia is headed to Daiyu.
Kenobi tells Bail that he should not have come. Bail says that the kidnappers hid their signature behind a freight transport and the ship is on its way to Daiyu. Kenobi is still unwilling to get involved. Bail says that Leia is his daughter. Kenobi says that he is not the man he used to be and refuses to abandon Luke. Bail says he knows that this is not about Luke. He understands that they have all made mistakes and that it is all in the past. He implores Kenobi to move on from his mistakes, saying that he couldn't save Anakin but that he can save her.
Kenobi is pessimistic but Bail reassures him that there is no one else that he would trust more with his child than Kenobi. He begs his old friend Kenobi to do it for her, describing it as his one last fight.
Aboard the kidnappers' ship, Leia activates her droid companion Lola and gets the hover droid to untie her. Just then, Nokru enters the room. Leia states that she is not afraid of him but he replies give it time. He grabs Lola and hurls her to the ground, shattering the droid. Leia tells Nokru that her father Bail is coming with an army. Nokru replies that nobody is coming for her before leaving the room.
Back on Tatooine, Kenobi dismounts from his eopie and begins digging. Meanwhile, one of Nokru's Nikto associates confides that this might be a bad idea. Nokru tells him to get it over with. Elsewhere, Kenobi continues digging and finds a chest. Inside, he retrieves two lightsabers, which have been wrapped in a linen cloth. Back aboard the starship, Nokru asks Reva if she is sure that Kenobi will come. She replies that Kenobi fought alongside her father during the Clone Wars and believes that he will come because he won't be able to help it. She believes that the Jedi will help hunt himself. On Tatooine, Kenobi heads to a spaceport. A dark-skinned human woman asks if he is coming and he pays the fare. Kenobi walks towards a freighter.