Danny encounters a ghost dog named Cujo at Axion Labs, but during his latest encounter with the ghost dog; the lab is destroyed and Valerie's popularity and social life is ruined. Valerie and her father are forced to move into a small apartment and her father is demoted as a result. Valerie is soon given special gear by Vlad Masters and she sets her sights on Danny Phantom as revenge for her misfortune. Danny soon realizes that Cujo has been escaping repeatedly from the Ghost Zone and he has been looking for something in the lab. Danny helps Cujo find his chew toy and he heads back to the Ghost Zone. Danny tries to convince Valerie that not all ghosts are bad, but she still isn't moved by his words. Danny makes his escape and Tucker pretends to be the one who trashed the lab to avoid Valerie from getting in trouble by her father. The next day, Danny and his friends are trying to figure out who gave Valerie the gear. However, Valerie's reputation at school is still ruined and as she leaves the cafeteria she walks past her former friends and she sees a mysterious package that Vlad has delivered to her. Danny and his friends end up buying Valerie's tickets to an upcoming concert to Dumpty Humpty.
—dawsonpersi