- 1910 A festival is being celebrated. Four hopeful admirers of Dulcinée serenade her from the street. Dulcinée appears and explains philosophically that being adored is not enough. She withdraws and a crowd, largely of beggars, acclaim the arrival of the eccentric knight and his comic squire, Don Quichotte riding on his horse Rossinante and Sancho Panza on a donkey. Delighted by their attention, Don Quichotte tells a reluctant Sancho to throw them money. After the crowd disperse, Don Quichotte himself serenades Dulcinée, but he is stopped by Juan, a jealous admirer of the local beauty. A sword fight follows, interrupted by Dulcinée herself. She is charmed by Don Quichotte's antique attentions, chides Juan for his jealousy and sends him away. The old man offers her his devotion and a castle. She suggests instead that he might retrieve a pearl necklace of hers stolen by Ténébrun, the bandit chief. He undertakes to do so, and Dulcinée quickly rejoins her men friends.