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Synopsis
Ra's al Ghul realizes his mistake in hiring the Joker to use him as a distraction while Ra's destroyed Europe's financial districts. In Sarajevo, Bosnia, the Joker brutally assaults Jason Todd, the second Robin, in an abandoned warehouse with a crowbar. Jason is locked in the warehouse with a bomb, which explodes and kills him before Batman arrives.
Five years later in Gotham City, a vigilante called Red Hood assembles a meeting of the city's prominent gang leaders. He announces a takeover of their drug trade, taking only 40 percent of the profit in return for protection from Black Mask and Batman. Batman stops an attempted theft of a shipment belonging to Black Mask, which is the advanced android Amazo. Batman destroys Amazo with the help of Jason's predecessor Nightwing and discovers the thieves are working for Red Hood. He chases Red Hood to Ace Chemicals, where an explosion destroys the facility and almost kills Batman.
Batman and Nightwing interrogate the Joker at Arkham about Red Hood, but he denies involvement. Black Mask puts a hit on Red Hood for Amazo's destruction. Batman and Nightwing prevent Red Hood from hijacking Black Mask's next shipment. They chase Red Hood to a train station, where Red Hood escapes after detonating a bomb, which injures Nightwing. Batman and Nightwing realize Red Hood is trained and has knowledge of Batman's tactics and gadgetry. A review of audio footage of the chase reveals Red Hood knows Batman's secret identity. He then recalls Jason performing the same maneuvers as Red Hood and that Jason grew more violent as he aged.
The Fearsome Hand of Four lure out Red Hood by attacking Tyler Bramford, a gang leader under his protection. They nearly overpower him until Batman helps incapacitate three of them and Red Hood kills the fourth, horrifying Batman. Red Hood explains he is doing what Batman will not: killing criminals who are not afraid. Batman offers to help Red Hood but he refuses. A blood sample of Red Hood matches Jason's. After discovering Jason's body is fake, Batman confronts Ra's al Ghul and demands to know the truth. Ra's says he felt responsible for Jason's death and, as a peace offering, he swapped Jason's body for a fake and revived him in the Lazarus Pit. Following his resurrection, Jason was driven insane and escaped by leaping off a cliff, which Ra's and his men believed killed him. After surviving an assassination attempt by Red Hood, Black Mask sets the Joker free, tasking him with killing Red Hood.
In a twist, Joker abducts Black Mask and the crime bosses and sets them on fire; Red Hood appears and reveals his real target all along has been the Joker. Batman saves the hostages and Red Hood takes the Joker. Red Hood brutally assaults the Joker in revenge for his own murder and confronts Batman. During the fight, Red Hood removes his helmet, confirming he is Jason. Their fight makes its way to a dilapidated building and ends with Jason holding Batman at gunpoint. Though he has forgiven Batman for not saving him, Jason is upset that Joker is still alive after killing him. Batman admits he wants to kill the Joker but will not, fearing he will not stop if he kills once. Jason tosses Batman a gun and gives him an ultimatum—he will execute the Joker unless Batman shoots Jason. Batman refuses and drops the gun, causing Jason to shoot at him. Batman throws a batarang, which jams Jason's pistol. When Jason pulls the trigger again, the gun is destroyed and Jason's right hand is mangled. Defeated, Jason sets off a time bomb and Batman subdues the Joker before attempting to save Jason. The bomb explodes; Batman and the Joker survive but Jason is gone.
The Joker is returned to Arkham and Black Mask is arrested for his involvement in the Joker's escape. A flashback shows Jason's first day as Robin, which he declares is the best day of his life.