The ghosts of Sleepy Hollow Elementary, bored with living in the basement, decide to cause some trouble in the school, but agree to go back where they belong only if Jeff, Cassidy, and Nina beat them in a game of basketball.
After moving to the town of Dark Falls and finding their new--old--house very creepy, Amanda and Josh's parents encourage them to make new friends, which proves to be a hauntingly dangerous mistake.
Lucy has always liked to tell monster stories, so when she actually does discover the librarian in charge of the summer reading program really is a monster, no one believes her.
Billy learns a very dangerous lesson when he ignores his uncle Dr. Deep's warning to stay away from the coral reefs while diving and encounters a horrifying half-human, half-fish creature lurking deep below the surface.