Helen "Star" Mason (Shirley Temple) is a foundling rescued from the sea as a baby by Captain January (Guy Kibbee), a lighthouse keeper. The two live in the lighthouse at Cape Tempest. Agatha Morgan (Sara Haden), a Truancy in the area, demands that Star be enrolled in school and removed from the care of Captain January, who never legally adopted her. The possibility of being separated is devastating for both January and Star. Meanwhile, January loses his job at the lighthouse when the lamp is replaced with an automatic one. Things look desperate for Star and January. Nazro (Slim Summerville), January’s friend, tries to help and traces Star’s relatives to Boston. He contacts them and they arrive at Cape Tempest to claim her. To Star’s surprise and delight, her wealthy aunt and uncle buy her a yacht and hire January as helmsman, Nazro and Roberts (Buddy Ebsen) as crew, and Mrs. Croft (Jane Darwell) as cook.