The story begins by introducing itself as a made-up story. It introduces the three children as the principal characters and considers a number of settings before deciding on a meadow. It turns out that the meadow lies within a small kingdom inhabited by the three children and a variety of anthropomorphic animals. We find Robert, Joanna, and Moritz hard at work trying to reach hazelnuts in three tall trees. They make the acquaintance of a dignified owl, Dr. Loy, who is suddenly scared off by the sound of an approaching motor. The children watch bemused as King Fatback's royal limousine approaches. The King himself, a pig, accuses them of stealing his nuts. They are taken to the castle and introduced to the caretaker, a matronly cat named Miss Bellmouse, who places them in separate rooms. Life at the castle is a regimented series of rings, gongs, bells, and buzzers that announce one dismal activity after another: sleep; lessons taught by the unpleasant teacher-dog, Mr. Prouch; brainwashing lectures given by the king's overbearing cousin Clemens; flavorless meals; and a weekly trip to the playroom.