Mr. George and his servant, Phil, discuss their pasts. Phil had dreamt of living in the country, and Mr. George informs him that he was born there. Phil asks Mr. George if his mother is living; Mr. George replies that she is not and quickly changes the subject. Grandfather Smallweed arrives to remind Mr. George that he owes him money. The conversation turns to Captain Hawdon, whom Smallweed believes is not dead. He tells Mr. George that some lawyer has been asking for samples of Hawdon’s handwriting. Smallweed says that he possesses only Hawdon’s signature and asks Mr. George if he has more samples. Mr. George replies that, if he had, he would not give it to Smallweed. At Smallweed’s suggestion, Mr. George thinks about going to see the lawyer himself. They go to Mr. Tulkinghorn’s office, where Mr. George notices boxes with Sir Leicester Dedlock’s name inscribed on them. Mr. Tulkinghorn questions Mr. George about his relationship with Captain Hawdon and determines that Mr. George served under the captain during his time in the military. Mr. Tulkinghorn also questions whether Captain Hawdon is dead. He offers Mr. George whatever price he names for any sample of Captain Hawdon’s handwriting. Mr. George is reluctant, especially after Mr. Tulkinghorn refuses to disclose the reason he wants the handwriting samples. Mr. George says that he wishes to consult a friend first.

Mr. George goes to the home of Mat Bagnet, an old army friend. After greeting his wife and children, Mr. George discusses Mr. Tulkinghorn’s request. Mr. Bagnet urges Mr. George to not give up the writing. Mr. George returns to Mr. Tulkinghorn’s to deliver his refusal. Mr. Tulkinghorn acts uncharacteristically irate and asks him if it was in his home that Gridley had hidden. When Mr. George says this is so, Mr. Tulkinghorn warns him that Gridley was a “threatening, murderous, dangerous fellow.” A passerby overhears this and thinks it applies to Mr. George, who leaves in a furious temper.

Chesney Wold is invaded by the poorer Dedlock cousins, in particular Volumnia Dedlock. Volumnia inquires about Rosa, Lady Dedlock’s servant, and praises Mrs. Rouncewell, who has two sons, according to Sir Leicester. One of them, an ironmonger, has been invited to join Parliament but has refused. Sir Leicester views this as a sign that the country is going to pieces. Mr. Rouncewell himself arrives to inform Sir Leicester that his son desires to marry Rosa on the condition that she leave Chesney Wold. Sir Leicester is incensed that Chesney Wold is not seen as good enough for an ironmonger, but he agrees to abide by whatever decision Mr. Rouncewell makes. Lady Dedlock asks Rosa if she is in love. She says she is not sure yet and does not wish to leave Chesney Wold.

When Lady Dedlock returns to London, she is visited by Mr. Guppy. He tells her that he is interested in proving a family connection between Lady Dedlock and Esther Summerson after having noticed their resemblance in the portrait at Chesney Wold. He tells her he had once talked to Mrs. Barbary, who reared Esther, and discovered that Esther’s name was actually Esther Hawdon. He also tells Lady Dedlock that he is to come into possession of some letters written by Captain Hawdon, who died recently, and wants to know if she would be interested in having them. She says she would. In her room, Lady Dedlock is overcome by the knowledge that her child, whom she thought was dead, is in fact alive after having been raised by her sister.