Jimmy Osgood had given invaluable help with special effects in preparations for the Dakota "Fright Fest", but Nick, Ray and Kevin pulled a rather violent prank on him by scaring him and chasing him through the cardboard maze assembled by him and others, destroying part of it in the process and leaving the kid shattered enough to not show up for the next week.
Frieda then scolded Nick, saying that he, Kevin and Ray didn't have to act like a bunch of bullies. He offered to help take down the decorations that day, hoping that Frieda would forgive him. Frieda replied that actual apologies would have to be made to Jimmy, not to her which he smugly and deliberately interpreted to mean apology accepted.
Jimmy showed up at the Freeman Community Center on Cleanup Day and, bursting into tears of anger, points the gun at Nick, complaining that he had had it with all the bullying he was subjected to, causing Nick to realize he had pushed Jimmy too far. Nick then apologizes, looking remorseful (and wishing he had gotten help for being a bully as well). Just then, Ray and Kevin charged at him, causing Jimmy to accidentally pull the trigger, the stray bullet hitting Richie in the leg. The incident soon caused all outbursts to subside, as Jimmy curled up in a corner, crying.
In the end, Nick and his best friends were suspended and forced to do community service.