When Laura cannot seem to locate Daniel by phone, she ultimately finds him at the Witch-Works in a daze, unaware of how or when he got there. They find a menacing looking doll with a dark beard and black suit.
Daniel takes the doll to Sidney Johnson’s antique shop to see if it could be one made by the Black Cat Toy Factory. Sidney used to work for Harold O’Bannon and currently lives in the O’Bannon mansion. Daniel speaks with an employee of Sidney’s who runs the shop, Avery Weiikle, who offers to show the doll to Sidney when the owner arrives later in the day. Daniel finds himself oddly agitated by the employee’s cavalier attitude about the Witch-Works and leaves the doll at the shop.
Sidney confirms that the odd doll, whose clothes seem new, is an authentic product of the Black Cat Toy Factory. He takes the doll home and places it on the desk in his library, where a collection of books on magics and spells sit on shelves shared with hundreds of old toys.
Sidney prepares to burn the original copy of Harold O’cannon’s will which indicated that his estate should go to the male progeny of his illegitimate daughter, Colleen Whittier/Thompson. Sidney keeps the forged document that states that he is the beneficiary of all of O’Bannon’s wealth. Sidney reflects on the night that he had assisted in a strange ritual that resulted in O’Bannon’s death in that very room.
Before Sidney can burn the original will, the doll that resembles O’Bannon moves on Sidney’s desk. All of the music boxes begin to play at once, and the toys on the shelves climb or jump down to the floor and swarm Sidney who screams until death claims him.