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Worcester and Vernon agree not to tell Hotspur about the king's peace offer. They're afraid that if they take him up on it, Hotspur will be forgiven (because he's young and hot-blooded) but the others will be punished eventually.
Hotspur and Douglas enter.
Worcester lies and says the king is merciless. He then relays Prince Hal's challenge to fight Hotspur in man-to-man combat (conveniently leaving out the part about fighting to save the lives of the other troops).
Vernon says the prince acted nobly and gave Hotspur props for being such a great warrior.
Hotspur scoffs and says Vernon talks like he's got a crush on the prince.
A messenger enters and Hotspur says he's too busy to read the letters – he's about to get bloody on the battlefield.
Another messenger enters and says the king's troops are moving forward.
Hotspur says good. Enough with all this talking – let's fight!
The rebels have a quick team huddle and then break.