D.J. Mulrooney, an executive officer of a timber-trading company, travels in his customized 1930
Rolls-Royce Phantom II to Seattle to sell 50,000 acres of timberland. The car was purchased after D.J. earned his first million dollars. His first stop is the
airport, where he picks up his grandchildren, 10-year-old Elizabeth and 8-year-old Rodney, who are to accompany D.J. on his trip to Seattle. Traveling north from San Francisco, the trio detour through what later became
Redwood National Park where D.J. has endowed a grove of
Redwood trees, entitled "Mulrooney Grove". There they encounter a
gnome called Jasper and his 943-year-old grandfather Knobby who, like D.J., is passionate and short-tempered. Knobby is suffering from a sickness called "fading", or becoming semi-transparent. The reason for this "fading" is that Knobby fears that he and Jasper are the last two of their Gnome kind, and Knobby wants Jasper to find a bride before Knobby dies. Despite Knobby's immense hatred for humans like D.J. whose logging caused damage to the forests and the livelihood of gnomes, the gnomes agree to go along with the trio and seek other gnomes. The children rename the Rolls-Royce "the Gnome-Mobile". Jasper and his grandfather are kidnapped by Horatio
Quaxton, a
freak show owner, while D.J. is committed to an
asylum by his security guard Ralph Yarby, who has overheard D.J. talking about gnomes and deems his boss insane. Rodney and Elizabeth rescue D.J. from the asylum, rescue Jasper from Quaxton, and then set out to find Knobby, who had managed to escape earlier. They arrive in the woods to find a thriving community of gnomes. Jasper is introduced by Rufus the Gnome King as "the eligible gnome" to a large number of young females of his race, who compete in a contest to determine which one will marry him. He is smitten with one timid, lovely girl gnome named Violet, who is hated by all of the other girl gnomes. Jasper tries to get Violet to catch him, but she keeps getting pushed to the side and run over by the other very aggressive girl gnomes. After a very wild chase, Violet manages to win the race and she and Jasper get married. D.J. gives as a wedding present the rights to the 50,000 acres of forest that were to be sold for logging, which become a haven for the gnomes. ==Cast==