Scudder is a detective with the Sheriff's Department who is forced to shoot a violent suspect during a narcotics raid. The ensuing psychological aftermath of this shooting worsens his drinking problem and this alcoholism causes him to lose his job, as well as his marriage.
Former 1960s flower children Steven and Elyse Keaton raise their conservative son Alex, daughters Mallory and Jennifer, and later, youngest child Andrew.
Garbed in his red suit, Harry, a toy factory worker, decides that the only thing he can do to save the spirit of Christmas is to become Santa Claus himself and make all of the naughty townspeople pay... in blood!