Teaching with Moodle

You can use the activity completion feature of Moodle http://docs.moodle.org/23/en/Using_Activity_completion

Just restrict the access of lesson 2 on completion of lesson 1 or video.

I had the same issue, only deeper. My requirement was that the student watch the video WITHOUT fast forwarding it, so I ended up writing a set of custom controls for the video player. On it, I have a Play/Pause button, a button to back up 30 seconds, and on the PC, buttons to slow the video or return it to normal speed. There is no way for the student to fast forward through the video. Of course, I can't guarantee that the student sat and watched the video, other than I quiz them on it later. As part of the custom control panel, I display a 'random' key word in that bottom control bar when there are 6 seconds left, and remove it when there is one second left. At the end of the video, it is supposed to automatically return to the calling page, but in case it doesn't, the key word isn't being displayed, in case they walked out of the room, and hoped to return at the end of the video and get the key word. This 'random' key word has to be entered before the quiz can be taken. I use the word 'random' only in the sense that it is a random word that I have picked out, not that it changes randomly every time you watch the video. This word must be coded in two places, as the entry to the quiz, and as part of the HTML5 page that is called to display the video. No, not simple or elegant, but it does work.