When Mrs. Harding dies, she leaves a mysterious letter to her pastor. The note tells how her cold, miserly husband worked her to death. She asks the pastor to administer a small trust which she has bequeathed her daughter so that the girl might enjoy some finery which her father has always denied her. The village milliner carries the latest hat styles from New York, one of which has caught the girl's fancy. The pastor, loyal to the dying mother's wishes, buys the young lady the hat. Soon gossip spreads through the village...

The story of a poor young woman, separated by prejudice from her husband and baby, is interwoven with tales of intolerance from throughout history.

Two families, abolitionist Northerners the Stonemans and Southern landowners the Camerons, intertwine. When Confederate colonel Ben Cameron is captured in battle, nurse Elsie Stoneman petitions for his pardon. In Reconstruction-era South Carolina, Cameron founds the Ku Klux Klan, battling Elsie's congressman father and his African-American protégé, Silas Lynch.