The episode begins with Monk complaining to Natalie and Julie about how he hates Christmas. Suddenly, Monk sees a crowd and hundreds of teddy bears raining down from the building above. He quickly loses control of his anger and runs up the stairs of the building to confront the person throwing toys from the roof. This person is a man dressed as Santa Claus. Monk confronts the man dressed as Santa (because his actions are illegal). The scene cuts to shot of Natalie and Julie. A gunshot rings out, which prompts Natalie and Julie to run upstairs after Monk. They find him standing over Santa, who is nursing a bullet wound in the shoulder, with a gun in his hand. Monk claims that when he confronted the Santa impersonator, a gun fell from the man's pocket. When Monk questioned him about the weapon, he "freaked out" and then attacked Monk with a metal pipe. Monk claimed that he acted in self-defense. Needless to say, his side of the story seems unbelievable. To clear his name, Monk appears on a television "news" show and tries to clear his name. The interview doesn't go very well. Monk announces to the children watching that the man he shot wasn't Santa Claus, because Santa Claus doesn't really exist. The reporter interviewing Monk then reveled that she had received an anonymous phone call. This call stated that Monk buried something in his backyard the evening after the shooting. The item he supposedly buried was a piece of ivory, which had broken of the handle of the weapon used to shoot Santa. Monk is left to try and convince the police, as well as the city of San Francisco, that he is innocent of wrongdoing
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