It is a fine day for dwarf watching – at least that is what Gracie Gillypott and Prince Marcus think when they set out, quite unaware that Princess Marigold of Dreghorn has set her sights on Marcus, and decided to "follow him to the ends of the earth" – fan, frilly petticoats and all. All is not well. The dwarves are overworked and underpaid, having been expected to produce extra gold for wedding crowns for the wedding of Fedora and Prince Tertius. To deal with the problem, the Chief of Works sends for a couple of trolls who have an agenda of their own to find a princess for their leader, who believes True Love will melt his heart of glass. Gracie is mistaken for a princess, Marigold gets in everyone's way, Gubble is forced to make a terrible choice ... but fortunately Marlon and Alf are there to save the day.