After capturing the chi of Hsi Wu, the sky demon, Uncle attempts to place it in the chi containment unit. However it is broken, so the chi must remain in the chi-o-matic. Thinking that it is empty, Jade then takes Uncle's chi contraption with her on a school field trip to a haunted doorknob museum. Jade's teacher, Mrs. Hartman confiscates the chi-o-matic and accidentally infuses herself with Hsi Wu's chi. Things get worse in the haunted house when Drago appears and the ghosts get angry at the presence of two demons in their house.