Jessie, a survivor of the terrifying Devil's Lake Impaler incident, finds herself at the funeral of Rad Chad Buckley, the beloved video store owner who perished in what appears to be a brutal massacre, attended by a motley crew of mourners. Among those present are Jessie's mother, Ms. Kapowski, her trusty friend Kimmie, and Chad's twin brother Bo Buckley, alongside Chad's accountant Rick, college roommate Dwight, undertaker Moira, actor Kirk, Kirk's bodyguard Bert, and a mysterious woman named Claire.
After watching a bizarre videotape featuring Chad, an unseen force unleashes gas that renders the ten guests unconscious. When they regain consciousness, chaos ensues as Claire's unexpected acid-spitting leads to the gruesome demise of Rick when the chain reaction culminates in Ms. Kapowski's own regurgitation killing Claire, while Kirk and Bert inadvertently meet a similarly grim fate. The survivors quickly realize they are trapped in a lethal escape room filled with nightmarish challenges related to horror movie tropes.
In a desperate contest of skill, Dwight triumphs in a beer pong challenge but, unfortunately, everyone is gassed again, waking up bound to a wall. Rick theorizes that Sam, Chad's most loyal customer who kept the video store thriving, is orchestrating their torment from the shadows. This concept is confirmed when Sam reveals himself, confined to a wheelchair, and states that he is delivering poetic retribution for their lack of respect towards Chad's business and the horror genre itself.
The prisoners endure horrific trials, including being fitted with beekeeper masks that unleash bees, resulting in a dramatic series of deaths. Bo tragically succumbs to the bees, and Moira's head explodes due to an allergic reaction. Jessie manages to find the keys that free them from the masks, and the remaining survivors resort to ingesting cinnamon to counter the bees within them, only to be knocked unconscious once more by gas.
Amidst this mayhem, Ms. Kapowski is coerced into carrying out a dreadful task that ends with the skinning of Dwight. In a grisly yet ingenious move, she retrieves a key but is cut into pieces by unseen razor wire. After yet another round of gas, Jessie, Rick, Kimmie, and Dwight find themselves in a haunting replica of Chad's video store as the terrifying Devil's Lake Impaler is unleashed upon them, leading to harrowing injuries and supernatural confrontations.
As the chaos unfolds, Jessie manages to overpower Sam, leading to an explosive confrontation. Yet even as escape seems possible for Jessie, Kimmie, and Dwight, they are gassed once again. Upon waking, they are in what appears to be the funeral home, when suddenly Chad reemerges from the coffin. To the shock of both Jessie and Dwight, Kimmie reveals her secret romance with Chad, indicating that they had orchestrated the entire series of events, including faking Chad's own death. With Jessie and Dwight left to grapple with this shock, Chad and Kimmie slip away, leaving them trapped in reality far murkier than the films they lived through.
