The party takes off into the woods following the trail of something (they presume a wolf dragging their goblin friend Hugh). The party fights off another pack of wolves to discover that Varis is gone too. Thinking Hugh is in greater danger, they press ahead and eventually find themselves in a clearing in the woods. In the clearing is a giant stone archway where Hugh is collapsed on the ground at its feet.
More wolves and a pair of mysterious creatures (are the wolves, are the people - different party members see different things) appear and battle ensues. Spells going off during the combat seem to power up the arch which makes the lady/wolf very happy. Gilgamesh climbs the arch and hits it with a thunderwave that causes a portal to burst into existence inside the arch then quickly fades. Gil thunderwaves a second time before being hit with a poison attack. The lady/wolf runs towards the arch but is unable to make it through the portal before it fades. The thunder damage causes the arch to collapse while a giant wolf-man-thing grabs Gil's body and starts hauling him off into the woods.
Aoeth hits the wolf with a repelling blast causing him to drop Gil as the rest of the wolves ran off down the path. Hugh eats a mushroom of unknown origin and beings to hallucinate. He make a move to run off when Aoeth hits him with a sleep command. The party manages to haul the unconscious bodies of Hugh and Gil back to Bramblebark where they barricade themselves inside an abandoned home to sleep. The party wakes up the next morning to find that Varis was drugged and asleep at the local inn and the party has advanced to level 3.
The party is suffering from a point of exhaustion which make the events of the next hour or two a bit insane. Aoeth, sicker than the rest, stays in the hut while the party heads off to gather aditional info. Gil decides to double check the tracks leading off the back of the inn but fails to gather any new information. Kasiashi, Hugh and Bree go to visit the inn and talk to Gila. Kas and Hugh, the two most social inept members of the party, irritate and chase off Gila while Bree spies through the window. Hugh goes invisible and follows Gila into her chambers.
Meanwhile Sabine goes to Ertania's cottage where the following occurred: Sabine forced her way inside and assaulted Ertania and Ertania proceeded to stab Sabine in the ribs. The commotion draws Bree, Kas and the villiagers. Now alone with Gila, Hugh hits her with a Laugh Riot (Tasha's Hideous Laughter) spell and manages to steal her satchel and flees.
The session ends with a showdown between the party and the villagers where Bree is able to calm the crowd and a truth spell from the villager Migo, causes Hugh to confess his crimes. Hugh quickly chomps on some more mushrooms before they can force him to tell where the satchel is hidden. Hugh is then put in the stocks until morning.