On seeing the exhaustion of her companion, Una realizes he will require rest before undertaking further adventures, and therefore eagerly accepts an invitation tendered by a venerable old hermit who meets them. He leads them to his cell, where, after entertaining them all evening by pious conversation, he dismisses them to seek rest. His guests have no sooner vanished than the hermit, Archimago,—a personification of Hypocrisy,—casts aside his disguise, and summons two demons, one of whom he despatches to Hades to fetch a dream from the cave of Morpheus. This dream is to whisper to the sleeping Red Cross Knight that Una is not as innocent as she seems, while the other demon, transformed into her very semblance, is to delude the knight on awakening into believing his companion beneath contempt. This plot is duly carried out, and the Red Cross Knight shocked by the behavior of the sham Una departs immediately, bidding the dwarf follow him. Riding along in a state of extreme disgust and irritation, the Red Gross Knight soon encounters Sansfoi,—Faithlessness,—accompanied by a lady clad in red, who is Duessa,—a personification of Mary Queen of Scots, and also of falsehood and popery. The two knights immediately run against each other, and, when Georgos has slain his opponent, the lady beseeches him to spare her life, exclaiming her name is Fidessa and that she is only too glad to be saved from the cruel Sansfoi. Deluded by her words and looks, the Red Cross Knight invites her to accompany him, promising to defend her from her foes.

They are riding along together amicably, when the knight plucks a blossoming twig to weave a garland for his companion, and is dismayed to see blood trickle from the broken stem. Questioning the tree from whence the branch was taken, Georgos learns that a knight and his wife have been transformed into plants by Duessa, who does not wish them to escape from her thraldom. During this explanation, Georgos fails to notice that the lady in red trembles for fear her victims may recognize her, nor does he mark her relief when she perceives her present disguise is so effective that no one suspects she worked this baleful transformation.

Riding on once more, the Red Cross Knight and his companion next draw near to a glittering castle, whose stones seem covered with gold. Fidessa, who is familiar with this place, invites the knight to enter there with her; and Georgos, unaware of the fact that this is the stronghold of Pride, not only consents, but pays respectful homage to the mistress of the castle, Queen Lucifera, whose attendants are Idleness, Gluttony, Lechery, Envy, Avarice, and Wrath. It is while sojourning in this castle that the Red Cross Knight one day sees Sansjoi (Joyless) snatch from his dwarf the shield won from Sansfoi. Angered by this deed of violence, Georgos draws his sword, and he would have decided the question of ownership then and there had not Lucifera decreed he and his opponent should settle their quarrel in the lists on the morrow. During the ensuing night, Duessa secretly informs Sansjoi that the Red Cross Knight is his brother's slayer and promises that, should he defeat his opponent, she will belong to him forever. On the morrow, in the midst of much feudal pomp, the chivalrous duel takes place, and—although Duessa, fancying Sansjoi is about to win, loudly cheers him—the Red Cross Knight finally triumphs. Planting his foot upon his foe, Georgos would have ended Sansjoi's life had not Duessa enveloped her protégé in a cloud dense enough to hide him from his conqueror. After vainly seeking some trace of his vanished opponent, the Red Cross Knight is proclaimed victor, and goes back to the castle to nurse the wounds he has received.

Meanwhile Duessa steals into the deserted lists, removes the pall of cloud which envelops Sansjoi, and tenderly confides him to the Queen of Night, who bears him down to Hades, where Aesculapius heals his wounds. His victor, the Red Cross Knight, has not entirely recovered from this duel, when the dwarf rushes into his presence to report that while prowling around the castle he discovered a frightful dungeon, where men and women are imprisoned. When he declares they are sojourning in a wicked place, the Red Cross Knight springs out of bed and, helped by his attendant, hastens away from a spot which now inspires him with unspeakable horror.

They have barely issued from the castle walls before Georgos realizes he has been the victim of some baleful spell, for he now perceives that the building rests on a sand foundation and is tottering to its fall, while the pomp which so dazzled him at first is merely outside show and delusion. He is not aware, however, that Fidessa has beguiled him, since he openly regrets she is not present to escape with him, and he again bewails the fact that Una was not as pure as his fancy painted!

Meanwhile, returning to the castle to rejoin her victim, Duessa finds the Red Cross Knight gone, spurs after him, and on overtaking him gently reproaches him for abandoning her in such a place! Then she entices him to rest by a fountain, whose bewitched waters deprive the drinker of all strength. She herself offers Georgos a draught from this fountain, and, after he has drunk thereof, the giant Orgolio spurs out of the forest and, attacking him with a mighty club, lays him low and bears him off to his dungeon, to torture him the rest of his life. Meantime Duessa humbly follows the giant, promising him her love, while the dwarf, who has watched the encounter from afar, sorrowfully collects his master's armor and, piling it hastily on his steed, rides off in quest of help.

Meanwhile the real Una, on awakening in the hermitage to learn that the Red Cross Knight and the dwarf have gone, rides after them as fast as her little white ass can trot. Of course her attempt to overtake her companions is vain, and after travelling a long distance she dismounts in a forest to rest. Suddenly she is almost paralyzed with fear, for a roaring lion bursts through the thicket to devour her. Still, in fairy-land wild beasts cannot harm kings' daughters, provided they are pure, so the lion—the personification of Courage—not only spares Una, but humbly licks her feet, and accompanies her as watch-dog when she resumes her journey. They two soon reach the house of Superstition, an old woman, whose daughter, Stupidity, loves a robber of churches. When this lover attempts to visit her secretly by night, he is slain by the lion; whereupon the two women angrily banish Una. She is therefore again wandering aimlessly in the forest when Archimago meets her in the guise of the Red Cross Knight, for he wishes her to believe he is her missing champion. On perceiving the lion, however, the magician approaches Una cautiously, but the fair maiden, suspecting no fraud, joyfully runs to meet him, declaring she has missed him terribly.

They two have not proceeded far before they encounter Sansloi,—Lawlessness,—brother of the two knights with whom Georgos recently fought. Anxious to avenge their death, this new-comer boldly charges at the wearer of the Red Cross. Although terrified at the mere thought of an encounter, Archimago is forced to lower his lance in self-defence, but, as he is no expert, he is overthrown at the first blow. Springing down from his steed, Sansloi sets his foot upon his fallen foe and tries to remove his helmet so as to deal him a deadly blow. But no sooner does he behold the crafty lineaments of Archimago in place of those of the Red Cross Knight, than he contemptuously abandons his opponent to recover his senses at leisure, and starts off in pursuit of Una, whose beauty has charmed his lustful eye.

In a vain endeavor to protect his mistress, the lion next loses his life, and Sansloi, plucking the shrieking Una from her ass, flings her across his palfrey and rides off into the forest, followed by the little steed, which is too faithful to forsake its mistress. On arriving in the depths of the forest, Sansloi dismounts, but Una's cries attract a company of fauns and satyrs, whose uncanny faces inspire Sansloi with such terror that he flees, leaving his captive in their power. Notwithstanding their strange appearance, these wild men are essentially chivalrous, for they speedily assure Una no harm shall befall her in their company. In return she instructs them in regard to virtue and truth, until Sir Satyrane appears, who generously volunteers to go with her in search of the Red Cross Knight.

Those two have not ridden far together before they encounter a pilgrim, who reports the Red Cross Knight has just been slain in a combat by a knight who is now quenching his thirst at a neighboring fountain. Following this pilgrim's directions, Sir Satyrane soon overtakes the reported slayer of Georgos, and while they two struggle together, the terrified Una flees into the forest, closely pursued by the pilgrim, Archimago in a new disguise. Meantime the fight continues until Sansloi, severely wounded, beats a retreat, leaving Sir Satyrane too injured to follow Una. She, however, has meantime overtaken her dwarf, and learned from him that the Red Cross Knight is a prisoner of Orgolio. Thereupon she vows' not to rest until she has rescued her companion. She and her dwarf are hastening in the direction in which the giant vanished with his victim, when they meet Prince Arthur,—a personification of Leicester and of Chivalry,—who, although he has never yet seen the Fairy Queen, is so deeply in love with her that he does battle in her name whenever he can. This prince is incased in a magic armor, made by Merlin, and bears a shield fashioned from a single diamond, whose brightness is so dazzling that it has to be kept covered, so as not to blind all beholders.