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Six years after the man in black blew up the sanitarium just before Micheal and Jamie dissapeared, the scene opens with Jamie Lloyd being wheeled down a darkened corridor, about to give birth to a son.
The man in black takes the baby, but Jamie and her baby escape with the shape hot on thier track. Jamie makes it to an abandoned farmyard but Micheal murders her, but not before she has a chance to hide her baby.
Meanwhile in Haddonfield, Tommy Doyle (the boy Laurie was babysitting in the first film) is still living there, and has a theory for Micheals madness. He has been watching the Strode family that has moved into the Myres old house, convinced that 'Micheals work isnt done'
Tommy finds Jamies baby and hides it. Dr Loomis and Terrance Wynn discover that Jamie gave birth just before she died and set out to find the baby.
Micheal kills off most of the strode family except for Kara Strode and her son Danny who hears the voice that Micheal supposidly heard the night he killed his sister.
Tommy reaveals to Kara that Micheal is inflicted with 'the curse of thorn' an ancient druidism that made him offer the blood sacrifices of his next of kin on the night of samhain (halloween.)
When Kara sees her friend slaughtered by Micheal, her son Danny hears a voice and follows it into the Myres house! Kara follows him and discovers the bodies of her family... and Micheal. He chases them back to Tommys house where them and the baby are captured by the man in black who turns out to be Terrance Wynn, leader of the thorn and Dr Loomis's old partner at Smithsgrove.
Tommy and Loomis follow the man to smithsgrove where, in the last battle scene Tommy beats Myres to the ground with a pole, everyone gets out safely except for Loomis who goes back inside to take care of 'unfinshed buisness' . We see the mask on the ground and hear Loomis screaming.
