At the Lookout, Ryder, Katie, and the pups are practicing a play regarding a princess being put into a sleep by a witch that can only be broken by true love's kiss, but the princess is guarded by a fire-breathing dragon, and Ryder, who plays the prince, is a little hesitant when it comes to kissing Katie, who plays the princess.
Unfortunately, Marshall, who plays the back half of the dragon while Chase plays the front half, is too tired to perform, so Katie takes him down to his pup house to get a nice nap in before they have to do the play. As Marshall sleeps, he has a dream where he is awoken by Rubble, who reveals that Katie is asleep in the top of the Lookout, but they can't get to her as a large, fire-breathing dragon guards the ground entrance to the Lookout, scaring Marshall and Rubble away.
They find Ryder grilling up some sausages, who at first does not believe him about the dragon until a fireball from the dragon lands on the grill and cooks the sausages well done. Seeing that the Lookout is inaccessible, Ryder calls the Air Patroller and summons the pups. When Marshall tries to respond, being pursued by the dragon, he grabs the sausages to eat, but when he reaches the Air Patroller, the dragon manages to catch up to him and grab the other end, where it begins to eat the sausages, pulling Marshall back towards him. At Ryder's urging, Marshall lets the end of the sausages he's holding go, sending the dragon flying backwards, but even after the dragon eats the sausages, he goes after Marshall again, who barely gets aboard the Air Patroller in time before Ryder closes the Air Patroller's rear door, but not without the door snagging the dragon's whiskers when it shuts, nearly leaving the team at the dragon's mercy, before the Air Patroller is able to take off, leaving the dragon's whiskers to snap loose and back in the dragon's face, leaving them tangled, much to his concern at seeing his whiskers a mess.
Back aboard the Air Patroller, the plan is for Marshall to use his water cannons to extinguish the dragon's fireballs, while Rocky goes to get Cali to wake Katie. The team deploys, but it is not long before Marshall runs into trouble with the dragon, being discovered when he tried to sneak into the Lookout while the dragon was busy playing with the basketball. Though Marshall manages to extinguish the dragon's smoldering nostrils a few times, it only angers the dragon further, forcing Marshall to take to the air, only for the dragon to pursue him. Seeing Marshall in trouble, Ryder sends Chase and Skye to assist. With their help, the dragon is soon lured away from the Lookout so Rocky can go in with Cali to wake up Katie after picking Cali up from Katie's Pet Parlor.
During as the pups are distracting the dragon, Chase and Marshall tried to hit him in a crossfire with Chase's tennis ball cannon and Marshall's water cannons, but the dragons avoids both attacks, leaving Chase to get soaked and Marshall to get bonked by the tennis balls, much to the dragon's amusement. Skye leaves the dragon in her dust after luring him when she goes Mach 1, and by the time he catches up, he slams into one of the bridge towers, knocking him silly after Skye dodges his attack. When he gets on her tail again, Chase and Marshall rejoin her and begin switching back and forth to disorient and confuse the dragon.
It is not long before Cali wakes up Katie, but as Ryder calls to check in on her, Cali, and Rocky, the dragon crashes into the open doors of the top of the Lookout, startling Katie as she realizes what has been going on while she was asleep. However, when the dragon whimpers, Katie realizes the dragon's cranky because his whiskers are all twisted. Concerned, she goes to help, and Ryder soon joins her as he launches from the Air Patroller and activates his wings and jet pack to fly over to assist.
The dragon takes Katie for a ride once she is able to tame and befriend it, and together, she and Ryder are able to untangle its whiskers.
Back on the ground, the dragon thanks Ryder, Katie, and the pups for all their help, but as it licks Marshall, he soon returns to reality as Rubble wakes him up to let him know it is time for the play. Marshall is up in a hurry when he realizes he overslept.
The play goes great, and when Marshall and Chase end up separating their halves of their dragon costume again, Skye, Katie, and Ryder work it in with magically reuniting the two halves, to the applause of the crowd. Marshall makes one last joke about that being the end of the play to end the episode, using his half of the dragon costume to work in the pun.