De Lazlo and Beauty have built a dam, figuring that without water, the claims downstream will fail, and De Lazlo will take them over. The Han Indians are alarmed at the low water level, and Raven Moon warns that there will be no salmon for generations if they cannot swim upstream. Weedon's investigation points at De Lazlo, but he needs Wendy and White Fang's help to prove it. White Fang and the wolves gnaw through the support ropes and destroy the dam.