The Mythological Oversight and Restoration Authority (M.O.R.A.) is a secret military organization tasked with overseeing a peace treaty between mythological creatures and humanity. Callum Drift, head of Santa Claus’s ELF (Enforcement Logistics and Fortification) security, wants to retire after one final Christmas run, disillusioned by the rise of bad behavior in the world, reflected in the growth of Santa's Naughty List.
On Christmas Eve, a black ops team kidnaps Santa from the North Pole. Callum informs Director Zoe Harlow, who discovers that Jack O'Malley, a hacker, compromised the North Pole’s location. Jack didn’t know it was Santa’s location and sold the info to an anonymous buyer. Zoe offers Jack double his payment to help find Santa, placing a tracker inside him. Reluctantly, Callum teams up with Jack, and they trace the deal to a broker in Aruba, who reveals that the kidnapper is the winter witch, Grýla.
They track Grýla to her lair, suspecting she’s working with Krampus, Santa’s estranged brother and ex-lover. After a tense encounter, they escape with help from Krampus. Meanwhile, Grýla plans to use a magical snow globe to imprison every naughty child forever, testing it on Jack and his son, Dylan. The two bond inside the globes, breaking free through their newfound kindness.
With Zoe’s help, Callum and Jack return to the North Pole to confront Grýla. They rescue Mrs. Claus and other staff, and stop Grýla’s plan with Krampus’ assistance. Santa recovers, acknowledging his brother, while Grýla is sealed in a snow globe.
As Christmas Eve continues, Jack and Dylan join Santa on his sleigh, and Callum, inspired by their renewed wonder, decides not to retire.
