Catastrophes and misfortune continue to plague the Baudelaire orphans after they're sent to live with fearful Aunt Josephine who offers little protection against Count Olaf's treachery.

On the run as suspected murderers, the unlucky Baudelaire orphans find themselves trapped in the Caligari Carnival, where they must masquerade as freaks in order to hide from the evil Count Olaf.

Under a new government program based on the saying "It takes a village to raise a child," the Baudelaire orphans are adopted by an entire town, with disastrous results.

On the run after being falsely accused of murder, the three Baudelaire orphans find themselves in the Heimlich Hospital, with the evil Count Olaf in close pursuit.

Still pursued by the evil Count Olaf, the Baudelaire orphans attempt to reach a very important VFD meeting, but first they must travel in a rattletrap submarine to the Gorgonian Grotto, a dangerous underwater cave, in search of the sugar bowl.