The battle is over. Natsu speaks to Gajeel about their common past, being dragon slayers and all. It turns out Gajeel was trained by the steel dragon Metalicana. As for Natsu, if you didn't know it already, it's Igneel the fire dragon. Turns out both dragons disappeared at the same time, the 7th July year 777. Seven years ago. What a strange coincidence! Or, is it a coincidence??

Back at Fairy Tail, Lucy's telling everybody how sorry she is. Nobody blames her though. Jose from Phantom thought Fairy Tail had recruited her all because of the Heartphilia funds, but in truth she barely has enough money to pay the rent. Fairy Tail doesn't use their comrades, they're one big family.

Happiness and sadness, we can't share it all. But we can to some extend. That's a guild. One person's happiness is everyone's happiness. One person's anger is everyone's anger, and one person's tears is everyones tears. You don't have to suffer with the guild. Raise your head! You're a member of Fairy Tail.

With all the destruction and mayhem caused, it's innevitable that the rune knights show up to do some justice. After some investigation they realize Phantom started the war and let Fairy Tail go.

The old Guild House is a wreck. Time for a new one!

Gray gets a decorative lunchbox from Juvia.

A while later, Natsu & Co arrive at Lucy's place. They find a note.

Lucy's father is a cold man. He tells her it's good she's grown up and realized the selfishness of her actions. The reason she's called home is that there's a wealthy family nearby she should marry into, and then deliver a son to inherit the Heartphilia legacy. Lucy tells her dad that running away was indeed not the right way to go, it was just running away. Now she's back to tell her father face to face that she's leaving, that Fairy Tail is her new family, and if he ever messes with them again they won't go easy on him.

Natsuo & Co arrive to bring Lucy back!
Whoops, big missunderstanding. :)

Next episode!