New York after World War 2 is challenging for Manhattan commercial artist Daisy Kenyon (Joan Crawford) who is still struggling to establish her career, difficult for her now that she's hit 40, but also because she is single and sustaining a long-term adulterous relationship with married lawyer Dan O'Mara (Dana Andrews) who takes Daisy and his own wife Lucille (Ruth Warrick) and his success for granted. When Daisy begins seeing emotionally damaged, ex-soldier Peter Lapham (Henry Fonda) she feels it's only casual but when Peter, so different from boyfriend O'Mara, shows sincere interest in marriage Daisy can only consider the opportunity seriously. Daisy marries Peter out of real affection but still longs for Dan, partly because the lawyer has shown a sensitive side by taking a pro bono case to help a Japanese American try to get back his land that was taken away as a result of the reactions to the Japanese involvement in World War 2. Dan comes to Daisy and declares his love for her, him but Lucille learns of their relationship and sues Dan for a divorce. As the three are dragged through litigation Dan proposes that he and Peter and Daisy together decide what is important to them and find a resolution to the mess their lives have become.