It is Christmastime, and the residents immerse themselves in holiday spirit. The two spirits, Old Saint Nick and the Yule Queen, battle on Christmas Eve to determine who has the most holiday spirit. If Saint Nick wins, he will leave presents in people’s stockings, and if the Yule Queen wins, she will cover the land with snow. At dinner that night, Morrigan argues with Jack over the difference between the spirits. Because Jack supports the Yule Queen, she supports Saint Nick and ties a red ribbon that Hawthorne gave her in her hair. Jupiter asks Jack to befriend Morrigan because the children both know what it’s like to be far from home. Jack insists she’s insufferable and has no knack that qualifies her for the Wundrous Society. She quickly leaves and hides in her bedroom.

The following morning, Morrigan wakes from a dream about the Show Trial, where she tries to sing and can only squawk. She finds a fire in the hearth and feels the weight of possibly having to leave in a few weeks. She hears a crash outside her room and finds Jack on the ground with chocolate milk everywhere. Morrigan brings a towel to help him clean up and notices he is not wearing his eyepatch.