Kringle gets a job at Cole's department store on 34th Street thanks to toy department executive Dorey Walker, who, like her daughter Susan doesn't believe in Santa Claus. However, such is Kringle's success that a rival store, losing money, decides to have him declared insane for his insistence on his identity. The case comes to trial, with Dorey's would-be-suitor out to prove that he really is Santa Claus.