Galway, 1753 A human Angel (known then by his given name of Liam) is being lambasted by his father for his disgraceful life of drinking and debauchery. As he sharply backhands him across the face, his father tells him that he's worthless and will never amount to anything.
Present Day Angel battles an incredibly strong demon in a subway tunnel. Kate arrives on the scene, and a fellow officer informs her that all the witnesses claim the suspect who attacked the passengers on the train was pulled out of the moving train through the top vent. She heads into the tunnel and finds Angel standing near the now dead body of the suspect. He's a demon.
Kate is still having difficulty with the idea that demons and vampires are real. One of the passengers, a deliveryman, who had been specifically targeted by the demon, seems fuzzy on the details of what really happened. Kate's surprised when her father shows up at the crime scene. She tells Angel that he must have been checking up on her. Kate tries to put some distance between them. While she does think Angel is pretty decent guy and he's trying to help people, she doesn't want there to be anything personal between them.
Galway Darla sits in a tavern watching a still human Angel/Liam as he drinks and brawls his way through the room. She's fascinated by him and manages to catch Angel/Liam's eye. As he looks at her, he is hit from behind.
Present Day Wesley uncovers what type of demon Angel fought and how to dispose of its body. His research, however, indicates that this form of demon is a peaceful, non-violent demon. Angel wonders what or whom on that train would make a balancing demon behave so a-typically. He goes to the precinct to ask Kate for some background information on the train's passengers. Angel is especially suspicious of the deliveryman. Kate can't believe that a demon could be non-evil and refuses to help. She considers the case closed. Angel tracks the deliveryman down at the company he works for, while Wes and Cordy retrieve the demon body in the subway tunnel to test it. Angel follows the deliveryman as he goes on his next run...to Kate's father's apartment where he makes a pick up.
Angel knocks on Mr. Lockley's door and confronts him with the truth. He knows that he removed something from the crime scene and the deliveryman was there to pick it up. Angel says that he wants to protect Kate from the knowledge that her father didn't come by earlier because he cared. Mr. Lockley tells Angel that until he is a father, he has no idea why a father does the things he does.
Galway Angel/Liam has packed his bags and is leaving the house. He and his father have angry words. Angel/Liam accuses his father of wishing him to fail and setting him up for it. His father's parting words to him are that if he goes looking for trouble he's sure to find it. Angel/Liam flees to the tavern and then later that evening meets Darla who turns him.
Present Day Mr. Lockley meets Kate for lunch and starts pumping her for information on Angel. She tells him that Angel is a private investigator and he's good at his job. Mr. Lockley mentions that Angel made an impression on him, but he didn't like him. He warns Kate that it's not good to be alone. Wesley finishes testing the tissue sample from the demon. It confirms that it is the balancing demon he thought but strangely enough the adrenal gland is about 10 times the size it should be. Wesley believes it's due to a chemical substance in the bloodstream similar to PCP. It would make the otherwise peaceful demon a strong and powerful fighter. The deliveryman must have been carrying this drug, which is why the demon attacked him. Cordelia returns from her surveillance of the deliveryman and has the location of the source of these drugs.
Mr. Lockley goes to visit the lawyer-like men he's working for and informs them of Angel's inquiries. He advises them to lay low and leaves. A demon emerges from the shadows and orders them to kill both Angel and Mr. Lockley.
Galway Angel/Liam has been buried. At sunset, Darla waits by his fresh grave as Angelus crawls out. Darla is there to guide him as he makes his first kill. She tells him that he can have anyone in the village. He tells her he'd rather take the village as a whole and she is thrilled with the killer she has created.
Present Day Kate shows up at the office to give Angel the list of names he requested. She tells him that speaking with her father made her realize how good Angel is at what he does, and she's willing to trust Angel's instincts. She elicits his promise to call her if he comes up with anything. Angel wants to go see Mr. Lockley again and warn him about what he's dealing with. But before he can get far, a group of demons break into the office, attacking Cordelia and Wesley. Angel deals with them quickly and uses one for information. He calls Kate and tells her to get a hold of her father and warn him that he's in danger. The lawyer-like minions appear at Mr. Lockley's apartment and want to discuss Kate with him. He invites them in.
Galway Angelus comes to see his father, having been invited in by his little sister who thought he was an angel. His father sees the dead body of his daughter and attacks the demon that was his son. Angelus tells his father that he was wrong. He did make something of himself. And then he kills him.
Present Day The lawyers question Mr. Lockley about what Kate might know. He tells them she knows nothing but is interrupted by a knock on the door. It's Angel. He begs Mr. Lockley to invite him in but before he can, the lawyers turn into vampires and kill Mr. Lockley while Angel stands outside, helplessly watching. Once he's dead, Angel enters the apartment and kills one, while the other escapes. Kate runs into the apartment and finds her father dead on the floor.
Kate is devastated. She orders Angel out of the apartment. He goes back to the office and gears up for battle. Kate finds a stack of money and a business card in an envelope on the floor. She shows up at the auto body shop and starts shooting. She pulls a stake out and kills one of them. The demon leader steps out of the shadows. So does Angel. Kate and Angel fight the minions and Angel beheads the leader. Angel tries to talk to Kate but she tells him he has no idea what it's like to be human the way her father was and leaves.
Galway Angelus sits in his father's house with his dead body behind him. He claims to have finally won in the battle with his father. Darla tells him that he may have killed him but his father's defeat of Angelus will last lifetimes because he can never approve of Angelus now. Everything they were as humans influences who they are as demons. Killing them does not change what Angelus had felt for them.
Present Day Angel stands in the shadow of a mausoleum as Kate visits her father's grave.