Peter gets a phone call from Miss Buntwell, secretary for Renaldo's Dance A Go Go, offering him a free dance lesson should he correctly answer a history question - despite considerable strain Peter answers the question about President Martin Van Buren and gets a contract for dance lessons - the kind of contract that the others realize is crooked. Trying to get Peter out of the contract Micky and Mike wind up getting into contracts themselves, so Davy infiltrates Renaldo's crooked school by hiring on as a dance instructor.
After a first day of lessons (amid the strains of the then-unreleased "I'll Be Back Upon My Feet") the boys realize they need a brilliant idea, so Micky tries to find one by walking off the soundstage and consulting with the writers (some elderly Chinese men), whose resulting rewrite is promptly thrown away. Davy and Mike then cook up a scheme to embarrass Renaldo when he brings in a coterie of potential clients, all ladies (including Mike's real-life mom Bette Nesmith Graham, wearing a stunning blue coat and an attractive pearl necklace) which degenerates into a romp amid "I'm A Believer." Thoroughly humiliated, Renaldo has only one option to get rid of these four meddlesome young men - tear up all his lifetime contracts.