Poe was upset, trying to figure out where the kids were.

Eleanora slapped him. His boss called and told him to take his banker badge off. 

Eleanora went to find the orphans.

Charles was worried because they were talking about proposals for the business.

Georgina checked his eyes and said he needed to pay her a visit.

Violet was shocked because Klaus was operating the stamping machine.

Klaus had accident with the machine and Phil's leg was cut off.

Sir showed up and implies the kids had caused all of the drama.

Klaus came out of his trance and wondered what is going on.

Orwell and Olaf visited Sir and they found out that if the kids do one more thing, they would be fired.

The kids went to the opticians and found them hypnotizing Charles.

Olaf heard a noise and went upstairs to look for the noise. 

Klaus found skeletons in the closet.

There were medical files. The kids realized the whole mill was under hypnosis and they tried to figure out the word to unlock the hypnosis.

Sir warned them that they would be going with Count Olaf if they did one more thing wrong.

The kids worked through the VFD dictionary to try and find the cure to the hypnosis.

The Quagmire house was set on fire.

Klaus was told to send log with Charles into the saw to die.

The word was "fire" to fix the mill workers.

The word for Klaus was not the same.

Violet said "fire" through the megaphone, awakening everyone.

The word for Klaus was "inordinate." 

Georgina fell into the fire because the Lumber mill workers made their way in.

Olaf and hook escaped.

Mr. Poe did not believe anything. 

Charles went off in search of Sir and gave the kids the book. The Baudelaires were actually responsible for helping the village..

Poe got his promotion. The kids were on their way to boarding school.

Klaus got his telescope back and wondered if he would ever meet Jacquelyn again.

Olaf and Lemony Snicket both went to the boarding school.