After the third day of the Grand Magic Games's event Pandemonium ends prematurely, and the event for the remainder of the contestants ends as well, the battle portion of the day begins. The third match of the day is arranged, by the King of Fiore, to consist of Team Fairy Tail B's, Laxus Dreyar, and Team Raven Tail's Alexei.
As Laxus questions Alexei on being from his father's guild, he is immediately knocked back. As they fight, the battle seems completely one-sided, with Laxus being unable to lift a finger against Alexei's attacks. This surprises the entire audience, especially Fairy Tail's members. It is then revealed that what the audience is seeing is only an illusion created by Alexei's Magic, with the real Laxus and Alexei not even attempting to fight. As the illusion goes on, the Fairy Tail Mages are worried but are unable to detect any suspicious movements on Raven Tail's members' part. As Laxus asks why he'd want to win with illusions, Alexei states he doesn't care about winning. With that, the illusion suddenly changes to Laxus knocking away Alexei and subsequently dominating the fight for a brief period by punching the Raven Tail Mage. After the illusion attacks with a blast of lightning, Makarov suggests they were worried for nothing. However, the illusory Alexei then continues the battle and subsequently puts Laxus on the ropes.
As Alexei states he can even let Laxus be the winner, Laxus declares that he will dispose of the real Alexei and put an end to the false battle, Alexei reveals the rest of Team Raven Tail beside him, the ones in the audience being illusions. After stating that even Laxus wouldn't be able to simultaneously defeat all of Raven Tail's elite, Alexei takes off his mask, revealing himself as the Guild Master of Raven Tail and Laxus' father, Ivan Dreyar. Ivan then asks his son about the location of Lumen Histoire, but Laxus doesn't know of such a thing. Despite being up against Raven Tail's elite Mages and Guild Master, Laxus is determined to win, as Makarov's enemies are his enemies. In response, Ivan tells him he will be shown the strength of the anti-Fairy Tail guild.
Ivan goes to explain that during the past seven years, his guild has gathered members and mastered techniques to match all of Fairy Tail's weaknesses and that he is well aware of Laxus' weakness. Laxus then points out that Makarov has thoroughly investigated them, revealing that Gajeel was a double agent. Laxus also tells his father that even though Makarov knew that much, he didn't make a move on them, as he believed in his son somewhere deep down.
Ivan responds to this by demanding silence and attacking Laxus with a torrent of Shikigami, which Laxus blocks as an enraged Ivan tells him that he has lived in the shadows all for this day, all to obtain Lumen Histoire. Combining his Shikigami in the air, Ivan unleashes a dark blast of Magic. However, Laxus remains standing, with Ivan noting that he was measuring his power but possibly couldn't bring himself to attack. Ivan continues to ask Laxus about the location attacking him, but eventually orders Obra to seal away his Magic Power. Laxus, knowing what Obra did to Wendy and Carla and knowing of his power, activates his Lightning Body to zoom past Ivan and defeat Obra in one blow. Flare attacks Laxus as well but the latter dodges her moves as Nullpudding attempts to attack Laxus. However, Laxus avoids his attacks and smashes him into the ground for Gray. Laxus is then caught by Flare's hair, but turns and delivers a power lightning blast, taking her out for Lucy, much to Ivan's surprise. Kurohebi sneaks up behind Laxus using Sand Body to attack him, but Laxus defeats him before he can do anything. Ivan shows immense shock in seeing his elite troops defeated this easily and, as Laxus moves to attack him, he tells him that they are family and asks his son if he would really hurt his own father, but Laxus responds that his family is Fairy Tail, and defeats his father with a lightning-enhanced punch, dispelling his illusion and revealing the deception.
With the illusion dispelled, the audience is surprised to see Laxus standing over the defeated Team Raven Tail. Everyone quickly realizes that the fight earlier was an illusion and that Raven Tail played a dirty hand by having all their members and Guild Master participate in the battle. With Laxus announced the winner, the Fairy Tail members cheer for him, and Makarov and Mavis give Ivan an angry look. As Team Raven Tail is taken away by the Magic Council, Ivan tells Laxus that Lumen Histoire is Fairy Tail's darkness. Obra, however, manages to escape from the council's hands. After Team Raven Tail is disqualified, the events move on to the fourth match of the day between Fairy Tail's Wendy Marvell and Lamia Scale's Sherria Blendy.