As the high school prepares a production of MacBeth, Gwen runs afoul of Wind, Reine and Fire when queen bee Reine realizes Gwen is her chief competition for Josh's affections. Meanwhile, Katie follows Gwen to the forest glade and discovers the secret of Gwen's magic - only to become the object of derision when she tries to impress the disbelieving kids at school with the knowledge. Patrick O'Leary takes up a teaching position at Griffin High.

While painting graffiti, Spencer Huang inadvertently becomes possessed by a Dybbuk, a Jewish demon that forces the possessee to commit mischief and evil deeds. But this Dybbuk has a purpose: to find a suitable host for his girlfriend, an even meaner Dybbuk. When he finds the perfect candidate in Reine, Gwen's new worst enemy learns all about Gwen's secret.

As Gwen and Josh look forward to their first date, Patrick O'Leary does his best to break them up - on orders from Morgana, for whom, we learn, O'Leary is working. Ultimately, though, O'Leary's meddling only brings Gwen and Josh closer together, leading O'Leary to stand up to Morgana: from now on they'll do things his way as he gradually wins Gwen's trust, in their ongoing pursuit of Merlin's Stone.