It's a narrative as to how he is spotted some people that he's had been with in the past... they confront eachother. When Common states that "I aint a shooter, I just punch a lot" (but it fits within the context of the flow well, trust me).

The guy pulls a gun, but it jams, so common disarms him and piston-whips the guys with the guys own gun. He concludes the track with, "I needed a fight that night, me and my lady had an argument"

It's a 'cut-and-dry' type of 'gotta get shit off my chest' kinda flow for him. We know this track is one big metaphore of some type.

B.Kyle A.