The villagers built their houses close together for protection from enemies. When villagers went missing in the forest, they believed it was from a "lagayan" or ghost. To stop the ghost from entering the village, the villagers agreed to construct a long, deep canal across the passageway used by the ghost, as ghosts are afraid of water. During construction, an American passing by asked what they were doing and was told they were making a "caang" or canal. However, the American misheard "caang" as "GAANG" and spread the name to other places, and so the village became permanently known as Gaang.

1. How Barangay Ga-ang got its name
In the early times of the American Regime, there was an unknown small village occupied
by some people in the upper part of Tanudan.
The villagers lived happily near the Tanudan River bank where they could easily catch
fish for food. They built their houses close to one another for protection from attacking enemies
since tribal wars there were rampant during the early days.
One day, the villagers noticed that one member of their village was missing. They search
for him week-long until they found him unconscious inside the forest.
When they interviewed him, he told the villagers that he was taken away by a “lagayan”
or ghost. The incident happened repeatedly wherein some of the victims were not found or
recovered.
Because of the fearful events, the elders called a meeting among the villagers. They
decided to stop the “lagayan” or ghost taking people out of the village.
The villagers then agreed to make a long and deep canal. It would cut across the
passageway of the ghost to prevent its entrance in the village. Because the ghosts are afraid of
water.
During the construction of the canal, an American citizen, probably the well-known
Sapao happened to pass-by. He curiously as the men what they were working on.
One of the men stood and responded immediately saying that they are constructing a
“caaang” or canal to stop the ghost from coming to the village.
The American visitor wrote in his diary about what the worker thought to him. But e
misheard the word “caang” as “GAANG”.
The American fellow spread to other places he visited Gaang. A place where they were
constructing a canal to stop ghosts.
Today, the village is permanently named Gaang.