Flashbacks: A man was found in the dryer a few weeks ago. He was naked, dead and missing a kneecap. It’s revealed that Zed stole the kneecap before “Dryer Boy” was killed and Lilim put him in the dryer later on orders from her Dark Lady, but it’s unclear who really killed the naked man. No one remembers Dryer Boy’s real name, but it’s Chad… or something and he was a childhood friend of Buttercup. It is also revealed that Pamela won’t allow Jason to enter the room she had set aside for her nursery and he has respected her wishes because he’s a nice guy. Jason’s ancestor, The Captain, was also a nice guy who Esteban had a close relationship with, but we don’t find out much more about that. Edgar brings us back to the present talking to Vlad about how he needs The Scales of Judas despite the vendors obdurate attitude.
Edgar arrives at Esteban’s apartment to find that Kent and his sex-and-drug party friends are now crashing there. Esteban has fed on a young girl named Robin, who appears to be getting more ill, which Esteban is sure is a temporary reaction although he seems concerned. Esteban unofficially hires Kent and explains to Edgar that he needs an “Igor.” They leave, Esteban offering Edgar a ride along since Edgar wants to discuss a favor he needs from Esteban above and beyond wing-man duties. Also, Violet is there and Edgar wants to leave quickly.
Earlier that night, it transpires that Jason was working his first night shift at The Laundry. When Kali dumps Zed’s recently-murdered body in the dumpster behind Club Masque. When Jason investigated, Kali tried to escape, although they both saw eachother, before he went to investigate what she’d left behind in the oversized bag. Discovering Zed’s seemingly murdered body inside (with a windpipe punctured by one of Kali’s press-on nails) Jason also heard someone making a ruckus inside the Laundry. Jason’s shouts scared the Unnamed Punk, who ran out into Putt Pirates, where he was run down on the hole with all the Grinning Skulls and the fog machine by a reanimated Zed. Jason witnesses Zed tearing a huge chunk of skin from the Punk and gives chase. In the meantime, disturbed mid-sacrifice, Lilim climbs the fence to investigate the screams and gets caught by the security guard with a bloody knife in her hands.
Jason follows Zed to Edgar’s greenhouse and interrupts the ghoul trying to break in. Zed simply turns to Edgar and eats the flesh he’s stolen from the unnammed punk, healing himself in the process. In revulsion and terror, Jason flees to find a policeman. Zed slumps to the ground semi-conscious, only half aware of what’s going on in the wild night.
Later, at the police station, Jason is desperately trying to get someone to believe him when Marcus arrives to bail Lilim out. They have a heated discussion, Marcus worrying about his position as a school principal and Lilim assuring him its alright. Things turn kinky and Marcus pays off the cops for a searing session of holding cell bondage which scares the other occupant of the cell, a hardened streetwalker, into living a cleaner life. Outside, Officer Joe and the police watch the (unseen by the audience) torrid pleasure session on closed circuit tv and completely blow off Jason, who reluctantly leaves, realizing he’s on his own. Lilim seduces of the utterly corrupt but rangy and open-minded Officer Joe who lets her go afterward but warns he she is still a Person of Interest in the attack. She gets her knife back.
The next morning, Jason leaves a note on Zed’s door saying “I know What you Did” and begins putting warning posters up around the neighborhood. Mildred calls Jason over and makes him clean out her horrible, horrible cat boxes in return for a more-or-less useful crash course (and ongoing mentorship) in safer monster-hunting techniques. Jason manages to retrieve his note before Zed emerges, looking more handsome than ever, and begins doing everyday suburban things around Kali’s house.
Meanwhile, Esteban promises Edgar that, if he can get ahold of the Scales of Judas, he will hand them over to Edgar as soon as possible. Edgar gets a call from Kent that his older brother, Wayne Bruce, has asked Daisy out on date. Daisy, having recently broken up with Edgar’s rival, has agreed to lunch at the Taj Mahal. Esteban, as part of his wingman duties, goes to keep watch on the couple while Edgar gets the last of the money he needs to obtain the Scales (and also to enlist Lilim’s help as a homewrecker,, on Esteban’s advice.) Lilim agrees to help Edgar in exchange for finding the real criminal who stole the Unnamed Punk’s skin, so she can get out of trouble with the cops. They then get money out of Ralph, which is a very unpleasant chore.
Unfortunately, Mildred has taken Jason to see Vlad at that time. Vlad agrees to help Jason by selling the young man The Scales of Judas at twice Edgar’s asking price (and forcing Jason to take the Forbidden Bottle at the same time.) Esteban’s up-close surveillance in cat form triggers Wayne Bruce’s severe cat allergy and Daisy’s Florence Nightengale Syndrome at the same time. Esteban takes human form and escorts Wayne Bruce and Daisy to Valley Hospital while Lilim and Edgar go after the Scales. They run into Mildred and Jason on the way out, but Vlad chisels a high price out of Edgar and he has to dodge Ralph yet again so Jason and Mildred are long gone before anyone can catch up with them.
Lilim and Edgar arrive at Valley Hospital, where Esteban hypnotizes Daisy into admitting her feelings for Edgar. They leave together. Lilim goes to discourage Wayne Bruce from pursuing his relationship with Daisy and summons her Dark Lady to cure Wayne Bruce of cat allergies in return for his promise never to see Daisy again. Esteban tries to hypnotize the hospital staff so they don’t notice anything but it backfires and the hospital goes mad, zombie-movie style (the best scene is the Doctor who skips around handing out lollipops but then runs out and starts handing out scalpels through peoples’ hands or tongues instead.) Esteban gets Lilim to help him by agreeing to share information after its all over and they manage to herd the patience out of harms way into the top floor of the safest wing of the hospital.
While all that is going on Jason has returned to work and Zed shows up to do a load of clothes. Jason, terrified and suspicious, barely manages to deal with the beautiful monster, but Zed, blocking out any unpleasant aspects of his relationship with Kali has no clue at all why Jason is acting so strangely.
As dawn approaches, Lilim, Esteban and six mortal survivors, including Molly Nabeshima, Wayne Bruce and Nurse Lupe are making a last stand against a hospital full of mystically insane people. Esteban reveals he is a cat to the survivors, but they accept Lilim’s offer to save them with dark magic although it will mean the hospital shuts down. Because of the epidemic of madness, no one believes the stories of a man changing into a cat or Satanic rituals, but Molly and the others remember what really happened.
Lilim takes Esteban in his cat form back to his apartment to discuss what happens now.