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A couple of fraternity boys mistake Herman for a dummy and cart him of to a sorority house as part of a prank.
Grandpa and Herman work on a secret project in the garage making a birthday present for Eddie. They set traps so no one can see what they are building. Herman then ruins Eddies present and they draw a line down the center of the whole house with each having to stay on his own side.
Herman is hit by a car and thinks he has to pay 10,000 dollars because of the damage he did to the car when it hit him. Herman then runs away when the amount is doubled and he can not pay it.