Jac Lacan, through his theory of the multiple realms of personality, made significant contributions to the development of Freudian psychology. By introducing the realms of the Imaginary, the Symbolic, the Real, and the "objet petit a," Lacan deeply explored the stages of psychological development. These stages are somewhat similar to Freud's tripartite model. Lacan's psychoanalytic theories have had a profound impact on social studies, women's studies, and literature, becoming one of the key approaches in literary and psychological criticism. The evolution of character development in literary stories and novels has always been a focal point of researchers. This study, using a descriptive-analytical method, aims to describe the character development process in Bahram Sadeghi’s novella Malakut. Malakut has consistently attracted the attention of literary scholars, as the surrealistic and captivating writing style of the author has made the story suitable for analysis from various perspectives. The novella portrays several characters, with the most prominent being an individual known by the abbreviated name M.L. and a doctor named Hatam. These two characters share many similarities in their lives, particularly their experiences of loss. However, their ways of coping with this loss differ. M.L., through the severing of his body parts, attempts to forget the voids he faces. He ultimately accepts entry into the Symbolic realm after facing numerous challenges by deciding to return to social life. However, the events orchestrated by Dr. Hatam-what Lacan refers to as the Real-prevent this from happening.