The poor ghost of Sir Simon Canterville has been roaming his castle searching in vain for a brave descendant who will release him from the Canterville curse by performing a brave deed. An American family moves in and finds the ghost amusing, but a young girl in the family can release him - if she dares.

Popular crooner Russ Raymond abandons his career at its peak and joins the Navy using an alias, Tommy Halstead. However, Dorothy Roberts, a reporter, discovers his identity and follows him in the hopes of photographing him and revealing his identity to the world. Aboard the Alabama, Tommy meets up with Smoky and Pomeroy, who help hide him from Dorothy, who hatches numerous schemes in an attempt to photograph Tommy/Russ being a sailor.