One Christmas Eve long ago, a small orphan baby crawled into Santa's bag of gifts and was carried off to the North pole. Named Buddy and raised by Papa Elf, it soon became clear that he didn't fit in as he was much bigger than all the other elves. Determined to find a place where he truly belongs, Buddy sets out to find his real dad - in New York City ! Buddy soon discovers that the big city is no place for an elf and his dad and the world is seriously lacking in Christmas spirit causing Santa all kinds of problems! So with the help of a beautiful department store elf, Buddy tries to teach his dad and the world the true meaning of christmas spirit and to prove to everyone that Santa really exists!