At Barkingburg, the PAW Patrol is enjoying the stroll at their Mission Cruiser with Everest and Tracker. At 6:00pm, Tracker is in awe hearing Big Benji ring. The pups asked Ryder about a big surprise, and at the right time, Ryder played a holographic message from the Princess. They thought she need help, but they instead got invited to her party at the Barkingburg Castle. They arrived just in time.
The Earl introduced the Princess of Barkingburg as she got down from the grand staircase to her throne. Sweetie tellls him to introduce the kittens before her, but gets interrupted, and tries to get his attention. The Earl unenthusiastically introduces her, and she attempts to speak, only to be interrupted again. The Princess is then pleased to see anyone at her party. The Earl then introduced the royal kittens, then the PAW Patrol. The PAW Patrol greeted her a happy birthday and then the Princess formally meets Everest and Tracker. Afterwards, a young teenager barged into the castle, shocking everyone inside. The teen asked the Earl to formally announce him, and the Earl announced the teen is the Duke of Flappington and he reveled he was the Princess's cousin and the Princess never knew she had a cousin and everyone is mumbled in question since they never heard about that place before. The Princess is pleased to meet him. Then an eagle soared into the room, making the people panic and Ryder to rally, but the Duke calmed them down and introduced his pet, Jean-Claude, and Skye is frightened due to her fear of eagles. Afterwards, the Earl announced that it is time to open gifts. The Earl gifted the Princess the Gem of Barkingburg in a necklace. Chase then noticed the vault could be voice activated only by the Earl (noting his experience from the first time about security features in the castle). The Earl then tells her that only the queen / king can wear the necklace, but the Duke added that she can wear it when she is right of age. Sweetie then decides that if she takes the gem, she will be queen. The Princess then invited her guests at the dining hall to have a feast. Unknown to them, Sweetie and the Duke have plans to steal the gem. The Duke then shows her the gem of Flappington and told her that when the two gems combined it could gain them unknown power. The Duke then offered Sweetie an alliance that if they have the gems. The Duke will share Sweetie his power and the throne. And then the alliance between the Duke and Sweetie is formed and they planned to stage a coup to take over Barkingburg.
The Princess is upset to bid the PAW Patrol goodbye, but Skye assures they will come back for a big surprise. Then the alarm was triggered and the Duke begins to lure the PAW Patrol while Sweetie then chit-chats the Princess and Earl that someone is trying to steal the gem. The Earl opened the Vault and the lights dimmed giving Sweetie a chance to steal the gem. And when the lights came back up, the Earl is too late to realize that the gem is gone. Sweetie suggested them to follow the PAW Patrol and they followed them. Unknown to them, Busby is seen with the Gem.
The Duke then lured them from the castle hallways to a secret pathway. Skye is way ahead than the PAW Patrol. The PAW Patrol take a right turn to the turrets while Skye noticed the thief and asks her to give back the gem. Skye is about to warn them, but Jean-Claude scares her off by using her fear of eagles against her, while the PAW Patrol, Earl, and Princess are cornered. The Duke then activated the lever to activate the trap and send them to the dungeons. Skye goes to them, but it is too late. The Earl, Princess, Ryder, Chase, Marshall, Rocky, Rubble, and Zuma slide to the dungeons, and Everest and Tracker jumped to Skye safely and they are safe and okay. Meanwhile, the rest land safely on the mattresses of the dungeon. The Duke then lured the remaining pups around the castle. Around the hallways, Sweetie then activated a trap trying to capture Skye, but she gracefully evaded being captured and Sweetie has a plan to lure them out of the castle. The Duke then hides in one of the knight armors and smiled at Sweetie, making their coup a success. Skye, Everest, and Tracker are then outside the castle when Sweetie then engaged the castle lockdown, sealing the doors and windows to prevent the PAW Patrol, Earl, and the Princess escaping. Skye then felt down since she could not save them in time, but Tracker assured her and Everest tells them that they need to contact Ryder. Everest tries to no avail and they need to make a way to breach the castle.
The coup is a success and then the Duke asked Sweetie to give him the gem. Then the gem combined and the Duke showed her a scepter that can hold the gem. And then he tested it on the throne, making it levitate and they swap places. Sweetie asked the Duke for her turn, but he metaphorically stabs her in the back. Sweetie then begins to fight the Duke for the scepter as they take their duel to the air. After the fight, the Duke taunted Sweetie to have a water landing, by dumping her into the moat with Busby. She lands safely, then paddled to the side of the moat. The Duke then takes the throne higher and then tests the scepter's power by taking the houses to the sky and building his own Cloud City. Getting an idea how to do it, he ascends higher into the clouds where the plan begins.
Everest, Tracker, and Skye tried to open the door, but to no avail. Tracker then heard something is falling, which is the Throne and it falls into a moat. Sweetie climbs back to the throne and she, Everest, Tracker, and Skye looked up and noticed an Eagle Jet to Skye's fear and then the Duke begins his plan.
At the storage area, Ryder tried to contact help using his Pup Pad, but to no avail. They decide to search for something to get them out of the room. Marshall then noticed a pressure plate on the wall and Rocky pushed it open and revealing a window low enough to get the signal to contact the pups. Ryder has the advantage for this one.
Outside, the Duke is busy using the gem to levitate some buildings into the sky and also putting civvies at risk. Sweetie managed to get back up from the moat and tried to sneak past the pups, but Tracker heard her and noticed Sweetie. Skye tells them the situation, but Sweetie managed to fool the pups long enough to sneak back into the castle before sealing it up again. Skye then showed her emotion that she had enough of being fooled and Sweetie being a coward by running away and not helping them.
Back at the storage room, the pups form a platform out of mattresses high enough to reach the window and Ryder managed to get the signal. With a mild success Everest, Tracker, and Skye are relieved to hear that they are okay and then informs their situation. Ryder then asks Skye to get the Mission Cruiser to their underground headquarters and lead the mission. Marshall announced it is a Mission PAW operation, Skye have doubts to face the situation but Ryder assured that no eagle is too big and no Skye is too small and the trio head for the Mission PAW HQ.
Ryder begins to tell them about the situation and then Ryder gives Everest, Tracker, and Skye a way to defeat the Duke. With high speed jets equipped with stealth mode making them jam the Duke's radar and their flight suits, Everest and Tracker are happy. Skye voices her doubts about facing her fears, but Ryder assured that she can do it and once they escape they will join as reinforcements. They then hopped on to their jets and Everest and Tracker felt how flying in high speed would be so exciting for them.
From their stealth mode, Everest and Tracker manage to save the civilians while Skye tracks down the Duke. And Skye reported that the Duke is the culprit of this situation. Ryder tells them they need a way to get them out. Rocky then notices some blankets and ties it to the cell bar and into a rope, managing to break the window open. To their shock, they see the buildings of the Kingdom high above the sky.
In the skies, Skye, Everest, and Tracker are about to take the scepter using a hook. However, when their rescue mode is activated due to Skye letting her fear of eagles get the better of her again, their position is compromised. The Duke begins to see Skye as his adversary and activates his eagle claws to disable Everest and Tracker by grabbing and carrying them in tow. Skye and the Duke fight, and she managed to get the scepter. Then the Duke sent Jean-Claude to get the scepter back. Jean-Claude managed to get the scepter, while Skye crash lands on the ground due to being unable to pull up in time. The Duke of Flappington taunted Skye, and Skye feels demoralized and disheartened in failing her duties as team leader with not saving her teammates and putting Barkingburg in danger.
Sweetie is then at the roof scouting the Duke. The Duke has plans to levitate the castle. Sweetie makes her way outside, lifting the castle lockdown to do so, intending to run away from the battle, once again showing her cowardice. The Princess yells for help and Sweetie, unable to bear seeing her owner in danger, decides she has to ally with the PAW Patrol to save the Princess, choosing to save her owner than be a coward and run away from the battle. She makes her own move to stop the Duke while the PAW Patrol stick together and Skye voices her doubts. Sweetie flies in and blocks the beam, making the castle fall back into the ground safely as the civilians got out safely, though her own jet and Busby are affected by the beam instead. The Duke is initially shocked, then furious when Sweetie reveals she stopped him from taking the castle and threatening those inside, complete with her usual laugh and snort to taunt him. Tracker and Everest along with the PAW Patrol cheered and Sweetie smiled at being granted her recognition she sought for and then Skye is inspired by her act to save the captives, overcoming her fear of eagles. She managed to save all the captives and Ryder tells the male pups to gear up and get ready to strike back when Robo-Dog arrives with the Mission PAW Cruiser.
Skye then got after the eagle jet to stop the Duke and Jean-Claude, and conquers her fear of eagles for good. The Duke then begins to deploy Eagle Drones after Skye and lead into an air chase. Sweetie warns her that an Eagle Drone squadron is going after her, and Skye thanks her for the warning. Skye tried to shake them off by performing maneuvers. Then reinforcements arrived in the form of Ryder and his flight unit. Ryder tells them they will engage the drones while Skye charges in for the Duke. The Duke of Flappington is shocked to see the PAW Patrol in the air. Ryder begins to kite the drones while the rest of the PAW Patrol knocks them out. Chase then begins to dispatch the drones and takes one out using a winch. Rocky then gets a trash bin to collect the downed drones, while the Duke ranted and said his drones are not trash. Skye then managed to free Everest and Tracker and then help the male pups round the drones up. Skye flies to the side of the Eagle Jet and tells the Duke to surrender, but in act of desperation, the Duke said no and sends Jean-Claude to dogfight Skye. Skye, with a load of confidence, begins to charge against the Eagle and Skye zooms around Jean-Claude and knocks him out of the air and into the trash bin Rocky's carrying, dropping it off back on the ground. Fed up after seeing his beloved eagle knocked out by Skye, the Duke begins to use the scepter to lift Big Benji and intends to destroy the castle instead of taking over. Everyone is horrified about his plan, even Sweetie.
Just in time, as he drops the clock tower, Skye swoops in and gets the scepter while the Duke is not paying attention to his surroundings and saved the castle in the nick of time and the PAW Patrol put Big Benji back where it belongs. The Princess then splits the gems apart and descends the buildings, putting Barkingburg back to normal. The Duke then commanded Jean-Claude to get out of the scene, but he remembers he is out. Jean-Claude then recovers and flies back to the Eagle Jet. Rubble suggests they need to be grounded and Chase said he made a break for it. Skye then said it is hers and the battle between aces soon begins.
Skye begins to taunt the Duke of Flappington and the battle begins as Skye and the Duke begin to outmaneuver each other. The Duke orders Jean-Claude to activate thrusters at full power, and they zoomed away from Skye at the cost of his engines, as they overheat and shut down. Skye managed to save them as she tries to lift them with her hook, but can't due to her jet engines getting overheated and going critical. Thankfully, she is able to get them safely down. The Eagle and the Duke are relieved that they are safe, with him boasting he is the best pilot ever, before he exits his downed jet. But then the PAW Patrol arrived and paradrop to surround the Duke and Ryder lands sporting a furious look on his face regarding the Duke's actions against them, and Barkingburg. The Duke then pathetically said that he is about to go home on foot to Flappington but Skye airlifted the Duke using the harness to take him back to Barkingburg Castle to expose his crimes to the Princess and be punished. Ryder then tells that it's a mission accomplished and a job well done for Skye. Skye then said that she conquered her fear.
Back at the throne room, the Earl presented the Gem of Barkingburg in a necklace, and Sweetie commented that it is sparkly. The Earl then told that the Gem of Flappington and its scepter will be sealed inside the vault to prevent any thief from stealing it again. The Princess then swears to use the Gem for the protection of the Kingdom of Barkingburg. The Duke then revealed that his entire plan is just a prank. But then Sweetie exposes her recording about an alliance with the Duke and Sweetie tells her that the Duke tried to turn Sweetie against the Princess and Skye points out that is all the evidence about the attempted coup. The Princess then gives the Duke his second chance in order to punish him for the mess he made: By doing menial labor, starting from cleaning Sweetie's doghouse and a list given from the Earl, which annoyed both of them.
The Princess thanks the PAW Patrol for saving the kingdom of Barkingburg. Sweetie tried to steal the gem and Chase caught her in the act. Instead of stealing the gem, the Princess gives Sweetie a golden tiara as a reward for her loyalty to the Princess. The Princess called on Skye, she goes forward and the Princess of Barkingburg dubbed Skye as a Knight and gives her a Golden Medal of the Heart of Barkingburg as a reward for saving the entire kingdom from the coup of the Duke of Flappington. Marshall tells her about the surprise and then they presented it.
At the highest turret of Castle Barkingburg, the PAW Patrol, along with Sweetie, begins to perform an air show ending with the skywrite of a heart and the golden crown of Barkingburg and the Princess is smiling saying it is the best gift ever. And the PAW Patrol did a fly-by to the camera and irises to the Princess' gift, ending the special episode.