In Champion City, would-be superhero team of Mr. Furious, the Shoveler and the Blue Raja attempt to make a name for themselves, but their suspect skills make them ineffective, and they find themselves upstaged by the city's most successful superhero, Captain Amazing. However, Amazing is finding that his effectiveness at fighting crime has practically made his job obsolete, and without any worthy adversaries remaining (most are either dead, in exile, or in jail), his corporate sponsors are beginning to pull their funding.
To create a need for himself, Amazing uses his alter ego, billionaire lawyer Lance Hunt, to argue for the release of supervillain Casanova Frankenstein. The plan backfires; once reunited with his henchman Tony P and his Disco Boys, Casanova Frankenstein blows up the insane asylum, captures Amazing, and prepares to unleash the "Psycho-frakulator", which lethally bends reality.
While spying on Casanova Frankenstein's mansion, Mr. Furious discovers Amazing's capture and informs the others. After an unsuccessful rescue attempt, the three realize that they need more allies, and through word-of-mouth and try-outs, they recruit Invisible Boy, the Spleen, and the Bowler.
The newly formed team "assaults" Casanova, which only succeeds in annoying him and damaging his car. While drunk from celebrating their victory, the team is nearly killed in retaliation by Tony P and the Disco Boys. They are saved at the last minute by the Sphinx. The Sphinx trains them, but his methods annoy Mr. Furious � he has them complete rote team-building exercises and speaks exclusively in antimetabole. They also seek out Doc Heller, who specializes in non-lethal weaponry, to equip them for their battle.
The group breaks into Casanova's mansion during a gathering of several of the city's gangs; but, while attempting to free Captain Amazing, they inadvertently set off the Psycho-frakulator, killing him instead. Without Amazing, the team despairs of saving the city, but the Shoveler delivers a pep-talk that succeeds in uniting and inspiring them.
With new-found purpose, the team assaults the mansion again. Making effective use of their negligible superpowers and Heller's weapons, they manage to subdue most of Casanova Frankenstein's henchmen. As the heroes approach Casanova Frankenstein, he reveals that he is holding Mr. Furious' girlfriend Monica hostage. He activates the Psycho-frakulator, which begins to wreak havoc upon the city.