Kate meets her living doll and names her. The two play dress-up and begin to bond as master and servant, but there is much that they both must learn about each other and the mysterious Shadows House.

Kate searches for Emilico in Lord Grandfather's wing. John springs into action, and Kate gets some help from the other children and a strange new friend. As Edward's plan nears fruition, will the children of Shadows House be able to stop him?

Barbara and Barbie meet a robed figure at the entrance of the manor with a large number of Scorches. Later in the night, the Living Dolls are gathered and ordered to report if they know of the figure. Kate and Emilico discuss the announcement, then go to sleep.

The phantom mayhem has ended in the worst possible way, and as the house tries to settle back into its usual routine, Kate and Emilico's suspicions and fears give rise to an unshakeable determination.