In the Land of Elves lies a castle. Here live the elf king and queen with their knights, who shall fight against the many enemies of the elves. The knights' tournament is about to begin and the young knight, Acorn, is just entering the field when a mysterious raven flies away with the king's crown. At once, Acorn and his girlfriend Rosehip set out to find the crown. Luckily, Acorn and Rosehip meet a dwarf who shows them the right way.