ACT 1 

A holiday crowd is gathered on one of the squares of Barcelona. Kitri, the inn-keeper’s daughter enters the crowd accompanied by her friends. A young barber – Basil flirts with Kitri that irritates the inn-keeper Lorenzo who tries to force her to marry Gamache, an old but rich nobleman. He forbids Kitri ever to meet Basil.

The townsfolk take part in festivities. The toreadors and the street dancer – Lucia are dancing. At this moment Don Quixote – the knight enchanted by the tales of chivalry and Sancho Panza – his faithful squire enter the scene. Lorenzo offers the old knight hospitality at his inn. Sancho Panza stays outside and suffers some rough teasing from the crowd until his master rescues him.

To save herself from the marriage with Gamache Kitri runs away with Basil. Lorenzo and Gamache set out in pursuit, followed by Don Quixote with his squire, all of whom are bent on setting wrongs to right.

ACT 2 

Scene 1

A gypsy camp is located under a windmill, a puppet-theatre is also there. Don Quixote, Sancho Panza, Lorenzo and Gamache arrive. The gypsy baron treats the guests with gypsy dances and invites them to see the puppet show. Don Quixote, exited by the show, forgets that he is in the theatre, destroys the stage, discards the puppets, takes the windmill for evil wizard, starts to fight with it and entangled in its sail and is hurled to the ground.

Scene 2

Sancho Panza, Lorenzo and Gamache leave injured Don Quixote at the forest edge and go to summon some help. Exhausted Don Quixote falls asleep and dreams of Dulcinea (the lady of his visions) surrounded by the Dryads.

When Sancho Panza, Lorenzo and Gamache return they find Don Quixote recovered and they continue the pursuit together.

Scene 3

Kitri and Basil find the shelter in the tavern, Mercedes and Espada dance in their favor. Lorenzo, Gamache, Don Quixote and Sancho Panza also arrive. The friends hide Kitri but Gamache discovers her. Lorenzo demands Kitri to marry Gamache. Basil, in conspireation with Kitri, fakes his suicide. Kitri is mourning her beloved one. Don Quixote dedicated to righting the wrong, accuses Lorenzo in cruelty and forces him to give the parental blessing to Basil and Kitri. Lorenzo can not dare to refuse. Basil makes a “miraculous recovery” and everybody is happy except Gamache.

ACT 3

There is a preparation for weeding on the square. Lorenzo, his wife and little cooks are getting ready for the reception. Gamache though offended is also invited; he is looking for a new bride. Don Quixote and Sancho Panza are escorted to a place of honor. The festivity continues. Kitri and Basil perform the wedding dance in honor of the guests. Don Quixote bids farewell to his hosts and sets out to pursue his quest.