It is Christmas Eve, and Jake is embarrassed about his family's whack traditions. All he really wants to do is hit the Holiday Block Party, but Jonathan forces Jake to come caroling with them.
Trixie and Spud soon joins them with their caroling. Trixie is upset though, since her dad is iced out in Greenland, he won't be able to be home for Christmas. Spud, on the other hand, is happy that there is a relative observing every holiday, which means more presents, food, and parties.
The whole gang eventually makes it to Lao Shi's shop, where they sing a carol to Gramps who has a cold. Gramps brings Trixie, Jake, and Spud to aside, to tell them about a baby Sasquatch spotted in the City. They must find it, before its tribe tries to.
Somehow, the family heads to the mall, where Jake was to ask what he wanted from Santa. This made Jake even more angry, and humiliated, but then he suddenly spots the Sasquatch from a far. He and his friends ditch his family, to catch the Sasquatch. Unfortunately, Rotwood, 88, and 89 were all trying to catch it too.
The baby Sasquatch had everyone on a wild goose catch, and soon everyone lost its trail. But Jake soon figures out that it would want to be in a big tree, like the one in Times Square. The gang head over there, and see Rotwood climbing up trying to get it. But when the Sasquatch falls down, it is caught and stolen away by 88, and 89. To make everything even worse, the tribe of Sasquatches shows up, and starts terrorizing the City. While Trixie and Spud distract them, Jake flies after 88, and 89.
Finally, when the two separate groups collide, Jake and the crew are able to stop 88 and 89, just before they take the baby. With the Sasquatch reunited with its family, Trixie feels bad that she'll still be separated from her father on Christmas.
On Christmas morning, Jake apologizes to his family about the way he was acting yesterday, and finally agrees on his family's whack traditions. Even Trixie had a great Christmas, as she woke up to find her dad at her house. He told her that one minute the plane was covered in ice, and the next minute the ice was gone; he didn't think Santa's reindeer breathed fired. Of course, Trixie knew it wasn't Santa who melted the ice.