Prompted by her family doctor, Carolyn sees a psychiatrist, who convinces her that the Captain is a delusion she should ignore. When the psychiatrist shows up at Gull Cottage, the Captain takes delusion into his own hands.
Carolyn comes down with a bug, and Captain Gregg, dissatisfied with the doctor, concocts his own remedy which sends Mrs. Muir back to the mid-1800's where she is the "ghost" and the very much alive Captain is the only one who can see her.
The Captain is continually interrupted when trying to read Carolyn his poem for her. But her rapt attention to a singer-songwriter stranded at Gull Cottage gives the Captain an idea for getting his poem heard.
The arrival offshore of the ghost ship "Sea Vulture" causes a temporary loss of the Captain's powers. Carolyn takes advantage of his diminished capacities to hold a PTA meeting, and Claymore tries to take similar advantage.
Because the local handymen hired to repair the kitchen are scared of the "Gull Cottage Ghost", Mrs. Muir persuades the Captain to leave temporarily so...a situation Claymore does not enjoy when the Captain moves in with him.