The story picks up just minuets after the Shop 'Till You Drop Dead story, with police and various media surrounding S-Mart. The police arrest Ash "The S-Mart Slasher" Williams and is put on trial for the murder of everyone in the S-Mart store (except Sheila). The judge decides that Ash should be institutionalized and he sends him to Arkham Asylum. Six months after Ash is locked up in Arkham, he has inspired two television movies, four "fictional" novels, a cult of insane followers, and a off Broadway play called A Michigan Wise Guy In King Arthur's Court. Ash is under the "care" of Herbert West, who has been secretly working on perfecting his Re-Animation Formula using The Necronomicon Ex-Mortis, and works on a way to bring The Old Ones back to this dimension. When the Deadites are unleashed by West, an inmate named Deuce Bellcamp and parapsychologist Madeline Rothleschilde (or Sugarbaby) free Ash and gives him prop replicas of his Chainsaw and Boomstick from a film based on his story called Army of Darkness. They tell Ash that someone is using the Necronomicon to open a portal to release The Old Ones upon the Earth. After sometime of battling their way through Arkham, Sugarbaby finds a file on Ash and tells him that for the past six months, Sheila has been trying to free Ash and clear his name, but the Asylum would not allow it. While looking for Sheila in Arkham, Ash sees Sheila in a mirror, but before he can touch the mirror, Sugarbaby destroys it with a chair, warning him that when the Deadites are unleash, mirrors are open portals into the Forbidden Dimension. Ash is soon pulled into the Mirror Dimension, where he finds Sheila, "H.P." and the "good" Herbert West. H.P. gives him a special necklace that can only take one person out of the Dimension, so Ash takes it and says he will find Sheila on the other side so he can free her. He returns to find that Deuce has become one of Herbert's Re-Animated corpses and Sheila's body is part of the "Re-Animated Masterpiece" that West has made by sewing together multiple bodies. Ash destroys the creation, but before he stop West, Whateley, who has been helping Herbert with his Re-Animated creations, opens the portal for The Old Ones, but not for long. Ash stops him from reciting the spell in The Neconomicon and soon the supernatural energy causes Arkham Asylum to come crashing down. Ash, Sugarbaby, and unknown to them, Herbert West, have managed to escape in time. West remarks that he needs to find a place to regroup, and begin his research again.