Nancy Lammeter, having made it clear to Godfrey Cass that she will not marry him, is quite pained to be met by him at the door when she comes to the Red House for the dance. When Squire Cass comes out to greet Nancy’s father, she escapes to the bedroom where ladies are changing into their gowns. Nancy greets her aunt, Mrs. Osgood, and is introduced to the two Miss Gunns, daughters of a wine merchant from a neighboring town. The Miss Gunns, although they themselves frequent a higher society, are very taken with the beauty and natural charm of Nancy Lammeter. They think it a pity, however, that her hands should be coarse from housework and that her speech show traces of rustic dialect.
Nancy's sister Priscilla enters as Nancy is changing. Priscilla and Nancy dress alike through Nancy's insistence, although Priscilla is plain-looking and unsuited to Nancy's styles. She is resigned to spinsterhood, however, and she is cheerful about the matter. Her directness is unsettling to the Miss Gunns, who are also plain but are less inclined to be told so.
At dinner, Nancy is seated between Godfrey and the rector, Mr. Crackenthorp, while Priscilla accompanies her father. The rector's remarks on Nancy's beauty are an embarrassment to Godfrey, and furthermore they provoke sallies from Squire Cass and Dr. Kimble on the same subject. Godfrey fears that these may lead to an uncomfortable end.
Solomon Macey, the fiddler, soon arrives and leads the company into the parlor to open the dancing. A few of the more privileged villagers are allowed in as spectators as the dance is led off by the Squire with Mrs. Crackenthorp and the rector with Mrs. Osgood. Godfrey soon joins in with Nancy, but they quickly leave the dance again. Although the spectators assume there are romantic reasons, the truth is that Nancy has torn some stitches in her dress and is in need of repairs. The two of them wait in a side parlor for Priscilla to come. Against his intentions, Godfrey is led to ask Nancy to forgive his past coldness and declares that one dance with her matters more to him than all the world. Priscilla's entrance ends the conversation.
