Beaver's teacher, Miss Canfield, sends a note home with Beaver and the other kids convince him that it's news that he's getting kicked out of school. Beaver and Wally take steps to hide the note from Ward and June.

Beaver and Wally send away for an alligator and they secretly keep it in the bathroom. When the alligator falls ill, the boys get some advice from Captain Jack, an owner of an alligator farm. However, keeping him a secret is going to be hard, the alligator is growing and they need a new place to keep him without June and Ward finding out.

Beaver comes home with a black eye and Ward is upset when he learns that Beaver didn't fight back. This leads Ward to teach Beaver how to defend himself. Little does Ward know that the person who punched Beaver is a girl, Violet Rutherford, the daughter of one of Ward's co-workers.

The Cleavers have new neighbors, the Donaldsons, and June sends Beaver over to welcome them with a vase of flowers. However, when Mrs. Donaldson thanks Beaver by kissing him on the cheek, Beaver becomes convinced that Mr. Donaldson will kill him because he let a married woman kiss him, and it's all thanks to Eddie Haskell, who planted that idea in Beaver's mind.