Haggar schemes with Lotor a way to make his dream come true. She takes what looks like an ordinary dagger and casts a spell of that turns it into a Painless Blade of Sleep. The idea is that the Princess will be cut with it and appear to everyone else to have died - but Haggar and Lotor will know better, kidnap her, and so forth.
Haggar sends the Blue Cat to do the dirty work, and when opportunity strikes the creature succeeds in slicing the Princess in the forearm. She faints almost immediately. After spending the evening on a ventilator, the Princess takes what is believed to be her last breath. The Voltron Force as well as the Castle staff are devastated. Through his grief Keith senses something doesn't add up - the appearance of Haggar's cat, the otherwise superficial wound Allura sustained along with her good health makes him suspicious. He has a hunch that she's not really dead and plots with the rest of the team to stage a funeral to see if Lotor shows up to claim his prize.
The funeral scene is great, with each member (and most touchingly, Keith) thinking about what Allura means to them and how they would feel if she really was gone. As a horse drawn hearse carries the Princess' body from the funeral site, the Voltron Force follows closely on foot. Once they're out in the country, Haggar blasts a tree so that it falls between the boys and the carriage. The horses are spooked and throw the driver, which allows Lotor to hop in the driver's seat and ride away with his prize. But Pidge is faster than one might expect and catches up with the runaway carriage. He manages to give Lotor a run for his money while the others go back for their Lions.
But by the time the Lions arrive, Lotor has Allura in his arms and Haggar has Pidge as a hostage. However, Pidge isn't finished with heroics yet. Taking out a grenade he threatens to blow everyone up for the sake of the Princess. Lotor is forced to surrender the Princess and when the grenade goes off harmlessly, the blast awakens her. Defeated, Lotor goes home and the Princess is returned safely to the Castle. Oh, and Pidge finally gets a real kiss from Allura. And for once, Voltron wasn't needed to save the day!