Nacho Libre is loosely based on the story of Fray Tormenta ("Friar Storm"), aka Rev. Sergio Gutierrez Benitez, a real-life Mexican Catholic priest who had a 23-year career as a masked luchador. He competed in order to support the orphanage he directed.

Lucky Luke becomes the Sheriff of Daisy Town and runs out all the criminals. Then the Dalton brothers arrive and try to get the Indians to break the peace treaty and attack the town.

An ordinary man frustrated with the various flaws he sees in society begins to psychotically and violently lash out against them.