When Pete touches Shovel, a ghost dog, he finds himself unable to say anything without adding the phrase "without my pants". The dog leads Pete, Linda and Bronson on a hunt to find the bones of Ben Byron, Shovel's master.
Pete's having no luck at all in getting a kiss from Fiona. In desperation, he turns to a mysterious fortune-teller, who gives him a lipstick that will make any female unable to resist kissing him.
When Pete meets a beautiful tree spirit he instantly falls in love with her. One thing leads to another and before he knows what's happening, Pete is pregnant.
Ariel reveals that one island remains of Atlantis, and she invites Pete to join her there in paradise. There's only one condition: he can never return.
The Twists clear out the lighthouse, getting rid of all their old junk, but one of Linda's old dolls refuses to be abandoned and keeps returning to her room.