It's a battle across New York City between the Defenders and their imposters! Hellcat's fury on the NYC subway shocks everyone. Valkyrie's team finds Nighthawk and has a memorable trip aboard the Staten Island Ferry. Is this enough excitement for the new members to stick around?
The merry insanity continues as the wacky group of Defenders called together by Dollar Bill's documentary fight a pretend group of "New Defenders" led by Sagittarius and Libra, causing chaos as the police try to figure out who is who. The evil "New Defenders" run off to the subway, where the good Defenders give chase, causing more havoc underground. Other Defenders fly above to stop them at the next stop.
Meanwhile, Dollar Bill and Professor Turk meet up and make plans together.
Nighthawk manages to annoy several of the new group of good Defenders into leaving (with Daimon Hellstrom rejoining the group as an actual member many issues later). Nighthawk then flies off to stop some of the criminal Defenders at the New York Stock Exchange, but is outnumbered and beaten.
Meanwhile, in the subway, the battle continues, and Hellcat is almost choked to death by the Blob when her Moondragon-taught psychic powers emerge, knocking out everyone around her, good and evil.
Nighthawk reunites with Val and some of the other new good handers-on Defenders, and they fight some criminal Defenders on the ferry. Val, who is similarly choked, flips out as well, and believes she is fighting trolls. She totally wipes out all the criminals and heroes in the area as well through her combat skills. When Nighthawk comes up, she almost kills him, but then regains her normal state of mind. The rest of the new hero Defenders quit after all the craziness, and Val is concerned about how her Asgardian mind and human (Barbara Norriss) body can live together in harmony.
Back at a Soviet research institute, scientists are concerned about the radioactive Red Guardian and the Presence.