The film stars Jayaram as Sivasankaran, who arrives in Peruvannapuram village to join as the new peon in a college, and Parvathy as Kunjulakshmi, a student and an arrogant girl from a wealthy aristocratic family who owns the college.

Sivasankaran comes to the college as a peon to replace Keeleri Padmanabhan, who fails to give the promised donation to the Kavumpattu family in return for the job.

People in the village goad him to make life miserable for the new peon so that he would quit the job and leave the post vacant for Padmanabhan.

Sivasankaran, on the other hand, finds out that his job includes helping the Kavumpattu family in household chores.

Padmanabhan resorts to stealing coconuts from the Kavumpattu family estate to earn some money.

In the meantime, a love note that was written for Kunjulakshmi by a classmate ends up in her book, and she accuses Sivasankaran of writing her the letter.

Initially, Kamal had Mohanlal in mind for the lead role when the story was envisioned, but later realising Mohanlal had done a similar character in an earlier film, the story background was changed to cast Jayaram in the lead, and Mohanlal appeared in a cameo role as Achutha Kurup, a significant character whose name is mentioned throughout the film and appears at the end.