William Wellman Jr.

A malicious motorcycle gang harasses the residents of a small California town, intimidating most residents to not report them to the police. Among the gang's crimes is the rape of four young women. As the gang attempts to threaten the women into not testifying at the indictment hearing, one of the women, Vicki, comes under the protection of Billy Jack, who has also had several altercations with the gang. The gang escalates their pressure on both Vicki and Billy Jack to keep her out of the courtroom.

After Billy Jack in sentenced to four years in prison for the "involuntary manslaughter" of the first film, the Freedom School expands and flourishes under the guidance of Jean Roberts. The utopian existence of the school is characterized by everything ranging from "yoga sports" to muckracking journalism. The diverse student population airs scathing political exposes on their privately owned television station. The narrow-minded townspeople have different ideas about their brand of liberalism. Billy Jack is released and things heat up for the school.