Charlie Yuckapuck and Annie are a playful and spirited pair working as a cook and waitress at the lively Daredevil diner. Their mischievous and often zany antics frequently irk their boss, Mr. Travis, but manage to entertain the diner's other staff, including the cheerful Rose Marie, who plays the friendly waitress Magda. The diner itself seems to be a magnet for all kinds of unusual customers, from factory workers across the street to unexpected visitors like the famous comedian Morey Amsterdam. Among the most intriguing patrons is a Soviet spy, Carmen Phillips, who introduces herself as Olga, and is secretly observing Charlie. Olga's superiors, led by the diminutive but sinister figure known as Mr. Big, mistakenly believe Charlie to be a defecting Soviet cosmonaut named Yasha Nudnik, who supposedly holds crucial, sensitive information.
The plot thickens when a lawyer arrives with surprising news—Magda has inherited a bookstore located on a college campus. Just after this announcement, Mr. Travis fires Charlie and Annie, accusing them of incompetence. Undeterred, Charlie and Annie decide to leave the diner behind and move on to work at Magda’s new bookstore. Their arrival stirs curiosity, especially among Olga, who perceives the bookstore as a possible hideout, believing it to be haunted. She requests Charlie to stay in the store, convinced there’s supernatural activity happening there. Meanwhile, Charlie and Annie stumble upon reports suggesting that Nudnik—whom they suspect is at the university during a science convention—might be nearby. This discovery prompts them to help numerous eccentric customers and peculiar visitors who frequent the store, one of whom is a mysterious figure who comes and goes through the back of the shop.
As the story unfolds, Charlie and Annie become increasingly suspicious of Jim Holliston, a friend of Magda’s lawyer who appears to be helping her get her financial affairs sorted. Their suspicions grow when someone breaks into the store; Holliston discourages her from calling the police, raising further doubts about his motives. One evening, while investigating strange noises, Charlie and Annie venture into the basement but are frightened off after discovering two customers hiding behind a wall. On another night, their curiosity leads them to find a hidden trap door and a revolving bookcase. Behind this secret passage, they stumble upon the shocking sight of a dead KEB agent—revealing that something sinister is happening behind the innocent-looking bookstore.
During the course of the investigation, Holliston reveals himself to be an undercover government agent. He confesses that he resembles Nudnik and explains that the KEB is after him, believing him to be the defecting cosmonaut with vital secrets. The plot escalates when Charlie and Annie attend a Beatnik-themed party at a fraternity house, where chaos erupts. It’s here that they are targeted by Magda and her partner, revealing a larger conspiracy at play. Adding to the confusion, one of the fraternity members shows romantic interest in Annie, leading to a spirited chase that sends her and Charlie rushing back to the bookstore for safety.
Back at the store, they discover the spy ring has taken Magda captive—bound and gagged. Using their wit and resourcefulness, Charlie and Annie manage to defeat the spies by using the trap door and smashing a vase over the head of Olga’s partner in crime. Their bravery pays off, as they manage to arrest the knot of troublemakers, who turn out to be bank robbers digging a tunnel between the store and the neighboring bank. The film culminates with Charlie reading from a small note left at the scene, playfully asking the audience not to reveal the ending of the movie, adding a humorous and lighthearted touch to the conclusion.
This movie blends comedy, espionage, and a touch of mystery to create an entertaining story that keeps viewers guessing while celebrating the quirky characters and zany adventures that unfold within the walls of the Daredevil diner and the mysterious bookstore.