- The Living Goddesses
As Batroc angrily leaves the Meachum building over a dispute about his payment in his battle against Iron Fist, Ward Meachum vows to help Joy kill Iron Fist (however, he knows that Fist is not the killer of her father, and is perusing his own ends in trying to kill Iron Fist.) Meanwhile Danny returns back to the Wing residence to find the place torn up and a number of Cult of Kara-Kai members beaten up, he is suddenly attacked by Colleen's friend Misty Knight who believes that Iron Fist is one of the cultists. Unable to talk sense into her, Iron Fist is forced to knock her unconscious instead. Danny is then led to the Temple of Kali by the Ninja's astral form, where he finds that Colleen and her father Lee have been taken hostage by the cults leaders the Living Goddesses: Ushas and Shaya.
Iron Fist is forced to fight the Goddesses and their followers to free Colleen, her father and regain the book of Kali as well. During the fight, Iron Fist frees his friends and in the heat of the battle Lee turns into the Ninja once more to try and reclaim the book. However, in attempting to do so he kills the man holding it, who drops it into the flames of a torch, incinerating it.
When the book is destroyed the Ninja and Lee Wing separate, and the Ninja reveals that he was trapped inside it by the Dragon Kings of K'un-Lun. Deciding to get revenge, the Ninja then attacks Iron Fist, hoping to kill K'un-Lun's one true hope.
- This issue contains the first true appearance of Misty Knight; in the previous issue she was referenced (as "Misty") without actually appearing. A later retcon in Marvel Team-Up #64 revealed that Misty was the unnamed woman whom Spider-Man saved from a mugger in Marvel Team-Up #1, published three years earlier in March 1972.