No longer young, Arthur Kipps spends his Christmas Eve with his wife, Esme, and her children and grandchildren. He thinks about how his “spirits” are “affected by the ways of the weather” (4). Stepping outside to enjoy the air, Kipps relishes the chilly atmosphere of rain and fog. Kipps reflects on how he found their home, Monk’s Piece, in the countryside during a trip out of London with Mr. Bentley, his former employer at a law firm. Due to Mr. Bentley’s age, he had already moved to the countryside when Kipps first saw Monk’s Piece. At the time, Kipps was taking over the firm more as Mr. Bentley was preparing for retirement. Falling in love with the house, Kipps hoped to buy the property in the future. When Mr. Bentley informed him the house was for sale, Kipps immediately put in an offer, which was quickly accepted. In the present, Kipps enjoys spending time with Esme and her children and feels as though he has much to celebrate.

When Kipps joins the family around the fireplace, his stepson, Oliver, begins turning out the lights, so the family can exchange ghost stories. Oliver and his brothers, Will and Edmund, take turns sharing stories with the family, and Kipps increasingly becomes uncomfortable and anxious.