Small space aliens escape from a film vault to wreck havoc.
McCreedy walks up to Dennis and chastises him for wearing headphones while on duty. The phone rings and McCreedy chastises Dennis once again for not answering the phone. They do their security rounds around the film lot and Dennis asks about a vault area, and McCreedy tells him there is nothing down there. Comstock calls McCreedy over the walkie-talkie and tells him he needs to see him. Dennis ignores what McCreedy told him and walks into the vault area. Comstock complains to McCreedy that he didn't answer the phone and asks him about beer cans he found near the front gate. Dennis goes inside of the vault and hears gurgling noises. McCreedy notices static coming from his walkie-talkie and runs towards the vault. Dennis continues into the vault and imagines he is onstage at a concert as a singer. McCreedy makes it back to the vault and finds Dennis dead on the ground, and he quickly closes the vault door. Later, McCreedy tells Comstock that Dennis quit and Comstock blames him and mentions every time they hire a new guard, they only last a few weeks. McCreedy insists he can do the job by himself, but Comstock tells him they need a second security guard in case McCreedy can't show up and their insurance is voided if no one is on duty.
Kevin is hired as a replacement for Dennis. McCreedy takes Kevin on a tour of the lot and tells him to stay away from the vault area. McCreedy shows him a revolver he keeps at the security guard station, but tells him he has never needed to use it. After his shift, Kevin goes home and as he tries to kiss Amy, she tells him Kyle and Daphne have stopped by. They say hello to Kevin and when Daphne sees he brought a movie for him and Amy to watch, she critiques it for not having an X rating. Nick pulls up in his van and honks his horn. While Nick tells the others about his experience in Basic Training, Kyle leaves to call his "girlfriend". Kyle calls Fantazia's phone sex line and as she is describing what she wants him to do to her in a movie theater, Kevin catches him and tells him he better not have called a long distance number. Nick offers to teach Kevin hand to hand combat and they practice fighting with a bow rake and hoe. Nick beats Kevin over and over again until Kevin gives up. Daphne and Nick go into his van to have sex, while Amy tells Kevin he humiliated her by losing. At work that evening, McCreedy notices something is on Kevin's mind and asks what is the matter. Kevin complains Amy is never happy with him. Something starts to beep and McCreedy sees Thug sneaking around on the security camera. McCreedy drives off in the golf cart to confront the Thug and is ambushed by the Thug, who puts a knife to McCreedy's throat. Kevin sees what is happening over the security camera and grabs the revolver. He runs to McCreedy and the Thug and threatens to shoot the Thug, who eventually runs away. McCreedy goes to call the police while Kevin goes to look for the Thug on the lot. Kevin calls McCreedy on the walkie-talkie and tells him he is going down to the vault area and leaves his walkie talkie behind. McCreedy warns him not to go into the vault, but Kevin can't hear him. McCreedy catches Kevin as he is opening the vault, but it is too late and the Hobgoblins escape.
McCreedy tells Kevin the story of the Hobgoblins, who he has been trying to keep from escaping for thirty years. He tells him the Hobgoblins crash landed and at first he thought they were friendly, but as time went on they started to destroy everyone they met and he locked them in the vault. McCreedy tells Kevin he has to track down the Hobgoblins and kill them before dawn. The Hobgoblins go to Kevin and Amy's house and trick Daphne by playing a horn that sounds like Nick's van's. She goes outside and is attacked by a Hobgoblin. She kills it with a hoe and as she opens the door to the house, another one attacks her and two more get into the house. Nick arrives and helps close the door before grabbing a grenade. Kevin drives up and turns off the lights in the house and the Hobgoblins run out. Kevin manages to lock the Hobgoblins in Nick's van. The Hobgoblins manage to unlock the van and get out. Kyle calls Fantazia again and "she" tells him she is right outside the house. Kyle walks outside and sees "Fantazia" who tells him she goes all the way on the first date and they should go to Reputation Road. They get into his car and drive away. Kevin sees them leave and Daphne tells him where Reputation Road is and he gets into his car and leaves. While they are driving, Kyle asks "Fantazia" to marry him. "Fantazia" gets out of the car and tells Kyle to wait inside. She starts to push the car towards the edge of the hill, but Kevin arrives and saves Kyle by killing the Hobgoblin that was hiding in Kyle's car. Kyle gets out of the car and argues with Kevin over the reality of Fantazia and his car rolls off the cliff and explodes. They drive back to the house and kill a Hobgoblin that stayed in Nick's van. They go inside the house and Daphne tells Kevin, Amy went to Club Scum. They all take Nick's van to Club Scum.
Daphne takes everyone's wallets for safe keeping and gives them to Kyle, who is quickly robbed by Lowlife. As they try to walk into the club, Roadrash stops them. They tell him they are looking for a particular girl, and Roadrash calls over Pixie and asks her if she is "working" tonight. Kevin insults Pixie and as Roadrash is about to kick them out, he sees Daphne, who he recognizes and he lets them in. As they are walking to a table they run into Club Scum M.C. who assumes they are there for the wet t-shirt contest, donkey mud wrestling or get lucky night. Nick gets upset when he notices a lot of the patrons recognize Daphne. The Fontanelles consisting of Vocals, Guitar, Bass, Drums and Guitar start to play music. Pixie asks them if they want a drink and when she finds out they are underage, Roadrash gives them some fake IDs. Club Scum M.C. introduces a new act, Amy Sincere and Kevin realizes it is Amy. Amy starts to strip and Kevin runs on stage, punches the Club Scum M.C. who tries to stop him, and Amy knocks him off the stage. Amy and Roadrash start to flirt and Amy tells the club she wants them to treat her like dirt and use her. She and Roadrash start to leave the club and Kevin runs over and tries to stop them, but Roadrash throws him back into the club.
Kevin asks for help and Kyle and Daphne go to help him while Nick stays in his seat. Nick sees "Sergeant Parker" and "Sergeant Parker" asks him if Pixie is working tonight. Nicks tells him about the Hobgoblins and Sergeant Parker tells him they need to stage a diversion and gives Nick a belt of ammunition and grenades and a rifle. A Hobgoblin hides near Pixie and the Club Scum M.C., and the M.C. tells Pixie he is a talent scout and she says she is attracted to those type of men and they start to kiss. Kyle walks over and kills the Hobgoblin with a beer bottle. Pixie comes to her senses and then attacks the M.C. Nick starts setting off grenades in the club and everyone runs out. Kevin chokes a Hobgoblin to death and Amy comes to her senses and hits Roadrash with a beer bottle. "Sergeant Parker" tries to enlist Daphne in having sex with a group of soldiers. He throws a grenade and tells Nick to sacrifice himself to save everyone else and Nick jumps on the grenade and catches fire.
Daphne takes a grenade from "Sergeant Parker" and puts it down his shirt after pulling the pin and he explodes, killing the last two Hobgoblins in the club. Kevin and the others leave the club and Lowlife tells Amy he liked her show and Amy tells him to beat it. Kevin tells Amy he will always be there for her and she says she kind of liked the attention. McCreedy tells Comstock the Hobgoblins have broken out, but Comstock doesn't believe him and fires McCreedy. Kevin and the others drive to the film studio in Nick's van and "Thug" appears and challenges Kevin to a fight with nunchucks. Kevin starts to win the fight and "Thug" pulls out a gun. McCreedy shoots "Thug" and another Hobgoblin that was hiding in the van dies. The remaining Hobgoblins run back towards the vault and McCreedy goes after them. Kevin starts to follow him and Amy gives him a kiss. Kevin offers to guard the Hobgoblins from now on, but McCreedy refuses to allow Kevin to make that sacrifice and blows up the vault, killing the Hobgoblins. Amy tells Kevin he is her hero and offers to have sex with him. Kyle starts to flirt with Daphne, but Nick shows up slightly wounded from being on fire and he and Daphne go into the van and have sex. McCreedy calls Comstock and tells him the film vault exploded and no one was on duty when it happened so they won't be covered by insurance. Kyle then asks to use McCreedy's phone.