The plot of the successful Czech fairy-tale film The Princess from the Mill begged to be continued. While it seems that happiness has settled in at the mill for good after Eliska and Jindrich get married, this is actually not the case. The lord prince will not let their joy continue because he hasn't yet stopped thinking about the beautiful Eliska. He and his servant Jean concoct a bit of subterfuge: they send Jindrich off to fight the Turks. But luckily Eliska and her infant daughter Terinka have allies living with them at the mill - a clever and merrily devilish imp and a water goblin.