The Highlander escapes and Nakano laughs as he dies, declaring that Kane will not be present at the time of the Gathering (when the last immortals fight) and implying he has planned one last trick.

Meanwhile, archaeologist Dr. Alexandra Johnson (a woman identical to Sarah Barrington) is part of a team excavating the legendary cave of Nakano.

The excavation frees Kane, who beheads Khabul to gain a boost in power while his other soldier Senghi leaves to find Connor.

Alex investigates a piece of kilt cloth found in the cave of Nakano, identifying it as branch of the MacLeod family, one where a clan member was banished for having unnatural powers.

Learning that Russell Nash claims to be a descendant of this branch of the clan, Alex tracks him down and witnesses him battle Kane.

Learning more and concluding that "Nash" is actually the banished Connor MacLeod, still alive, Alex tracks him down and gives him a bar of finely refined steel she found in Nakano's cave.

MacLeod meets Kane in an old church mission in Jersey City and follows him into an abandoned power plant for their final battle.

[7] Davis-Panzer Productions responded by initiating a lawsuit against Mulcahy seeking $8.3 million in compensatory damages for repudiating on an oral agreement with the producers.

The movie specifically states that Brenda Wyatt died in a car crash in 1987 and shows a version of 1994 where Earth's ozone layer is intact, whereas Highlander II depicts the ozone layer as being largely gone by 1994, causing many deaths by cancer and radiation poisoning, including Brenda's.

Several enhanced visual effects shots are present in the American version, including Kane's arrival in New York City (via a teleportation portal, instead of stepping off of a freighter in the international version), as well as during the final Quickening sequence (where several additional shots of Connor levitating are seen, complete with new VFX work).

The American Final Dimension cut includes alternate musical tracks and cues (including the song "God Took a Picture" during the ending credits instead of Loreena McKennitt's "Bonny Portmore," and a rock-instrumental version of Mötley Crüe's "Dr. Feelgood" during the final battle between MacLeod and Kane).

[6] Stephen Holden of The New York Times remarked, "How could an action-adventure film that cost $34 million, most of which clearly went into pyrotechnics, computerized special effects and scenic locations, end up looking cheap, silly and lifeless?

"[14] In retrospective, the film holds a 5% approval rating on Rotten Tomatoes, based on 20 reviews, the critic consensus says "Borderline unwatchable and unspeakably dull, Highlander III is a sloppy third installment that still somehow manages to mark a slight improvement over its predecessor.