It seems long ago (c.1822), a woman named Molly Turgiss lived in Hooterville. As she grew up none of the children would play with her because she was so ugly. Townspeople shunned her and she never had a boyfriend. She was, however, popular with the dogs because she was shaped like a dog biscuit.

Eventually, Molly left town ("She was uglied out of town") but swore that she would return one day to haunt them all. Her threat came true and now the ghost of Molly Turgiss roamed the countryside, physically tormenting (throwing objects, stealing cars, etc.) anyone who would dare mention her name. On the wall of Sam Drucker's General Store sits a sign with the message "Checker Players: No discussing Politics, Religion and You Know Who"

As Mr. Douglas further investigated the legend he was kicked, pummeled and generally taunted by the spirit of Molly. When local conman and salesman Mr. Haney (Pat Buttram) mentioned her name, the ghost of Molly drove his truck to the town of Pixley and parked it in front of a fire hydrant.

While the townsfolk were afraid of Molly, Lisa Douglas (Eva Gabor) sympathized with Molly's plight and offered her help. "There's nothing to be sad about. You're only as ugly as you look," Lisa said.

With a few kind words and a couple of jars of cold cream, Lisa transformed Molly's vindictive ways. Now happy, Molly promised to stop haunting the people in Hooterville. But not before smashing the guitar of Mr. Douglas because he sang a folk song about the Molly Turgiss legend that contained the uncomplimentary repetitive hook line about Molly "By golly as ugly as sin."