Having freed himself from the Dead Zone, Garlic Jr. attacks Kamis Lookout with the help of four new underlings, trapping Kami and his assistant Mr. Popo in a bottle. He uses this opportunity to release the Black Water Mist, a gas that basically turns anyone it reaches into a demon. Meanwhile, Gohan has snuck away from home with Haiya Dragon(Ickris, Whatever that Dame Dragons name is Make Up Your Minds Dammit!) in order to visit his friends. Krillin has a new girlfriend named Maron, and at the moment are with Bulma, Oolong, and Master Roshi at Kame house. The Black Water Mist reaches the island, transforming them all into demons (With the exception of Krillin and Maron, who were underwater when the mist passed over them). Gohan and his dragon manage to escape the effects as well.
Having now reached the island, Gohan finds himself attacked by his friends. Garlic Jr.'s minions arrive (which FUNimation has dubbed the Spice Boys), and inform Gohan of the Sacred Water, the only thing that can counter the Black Water Mist. Piccolo comes to Gohan's rescue, but is bitten by one of the demons, and turns against our young hero as well.
Upon reaching Kami Lookout ontop of Korin Tower, Gohan meets Garlic Jr, who tells him how the Makyo Star (a red star) close approach to Earth freed him from the Dead Zone, and makes him stronger by the minute. Garlic Jr. orders his men to focus their attacks on Gohan, because it was him that banished the evil lord to the Dead Zone in the first place. Meanwhile, Vegeta is searching for Goku in deep space, hoping to keep up with his level of strength.
Piccolo begins to attack Gohan one on one, and does some serious damage to him. Krillin, getting in the way of the battle, is bitten by Piccolo, and joins in against Gohan. It is at this moment that Piccolo steals the bottle containing Kami and Mr.Popo from Garlic Jr. and releases them. Piccolo explains that since he is already a demon, the Black Water Mist bite had no affect on him. Garlic Jr. becomes enraged, and the Makyo Star approaches the Earth. Knowing that there is no way to release the Sacred Water before daybreak, Popo suggests that it be poured into the holes beneath Kami's Lookout where the winds would carry it around the world. However, on the way to this place rests the bodies of all the previous Guardians of the Earth, known as the Shinsenkai. Any living Guardian that attempts to pass through this area is in great danger. As the battle with Garlic Jr. and his minions continues on the surface, Kami is attacked by the previous gods, who drain his life force. Since Piccolo and Kami are still spirtually linked, Piccolo begins to suffer in his battle. Despite the incredible amount of pain, Kami and Mr.Popo press on, finally reaching the bottom of the lookout. With the dead gods busy attacking Kami,Mr. Popo manages to release the Sacred Water, returning the Earth's population to normal.
Back on the surface, Gohan, Krillin, and Piccolo continue to do battle with Garlic Jr, who becomes stronger every second. Gohan bores a hole into Garlic Jr.'s abdomen, but due to his wish of immortality, is resurrected on the spot. Finding out that the Black Water Mist has been countered by Kami, Garlic Jr. creates a new Dead Zone, hoping to suck the entire palace from its foundation. Gohan creates an energy shield around himself and his friends so that they will not be absorbed into the tear, but uses much of his energy maintaining it. Piccolo distracts Garlic Jr, allowing Gohan to destroy the Makyo Star. With the evil star now gone, Garlic Jr. loses all of his power, and falls into the Dead Zone once again. With Garlic Jr. gone and peace once again restored, the Z warriors wonder where Goku could possibly be...