In this episode, Rumplestiltskin (Robert Carlyle) hatches a plan to stop Peter Pan (Robbie Kay) from destroying Storybrooke with Regina's (Lana Parrilla) curse; the end result has Regina making an action that will forever change Emma Swan (Jennifer Morrison) and Henry (Jared S. Gilmore).
However, Hook, figuring out that Tinker Bell is a fairy, tells her that he has only one thing on his mind, which is to seek revenge on Rumplestilskin.
Gold also tells the others that he may be able to switch Henry and Pan's bodies back, but he needs the one thing that will reverse it, which is the wand of the Black Fairy.
As everyone involved begins the search, Snow talks to Emma, lamenting that she never got to raise her daughter, while at the church (where the other fairies/nuns are gathering for Mother Superior's wake), David, Tinker Bell, Hook, and Neal are looking for the wand, unaware that another individual is also looking for it as well: Pan's Shadow.
After they see Peter Pan back in his original body, Gold stands over his unconscious and powerless father, saying that he has some "unfinished family business" as everyone leaves to find Henry and the scroll.
They find Henry (now in his original body) at the library, but as he hands the scroll over to Regina, a flash of light comes over her and she is knocked out.
Later at the street, Regina wakes up and says she knows what must be done to stop the Curse, however, Pan shows up to retrieve the scroll and freezes all of them.
As the Curse approaches, Regina tells Emma that she and Henry will have to leave Storybrooke forever because once the Curse takes place everyone will return to the Enchanted Forest and since Henry was born in the Land Without Magic, he won't be able to go back with them, but Emma will be able to stay with him because she's the savior and the only one who can escape it.
Regina casts a spell that will give Emma and Henry a lifetime of good memories, but they will forget everything that happened in Storybrooke.
During an interview with the Los Angeles Times, Robbie Kay, who portrayed Peter Pan, talked about the body-switching plot and venturing to Storybrooke, saying "so there's an environmental shift so that character is not in his own court, if you will.
Amy Ratcliffe of IGN gave the episode a 9.1 out of 10, saying "Once's winter finale was entertaining and enjoyable with just a few weak points.
Instead we see Emma and Henry living a domestic and happy life together, until a strange knock at the door revealed a pirate with a hook.
[8] Lily Sparks of TV.com gave the episode a highly positive review, saying: The characters of OUAT have been feeling huge crazy things all season, but because this was the mid-season finale, the show actually tapped the brakes and gave the proceedings some gravity and the actors time to process it and to transfer the feeling to us.
Club gave the episode a B−, noting that "Wow, a lot to process this hour: When Once Upon a Time gives you a midseason finale, they frickin' mean it.
"[10] Hilary Busis of Entertainment Weekly summed it up with these comments: Remember how season 2's winter finale brought an entire half-season's storyline to a satisfying end by conclusively returning Snow and Emma to Storybrooke?
Well, Sunday's episode went about a hundred times farther, effectively tying a pretty white bow on the entire show's storyline – at least, until that handy "One Year Later" tag (Captain Swan lives!)
"[13] Andrea Reiher of Zap2it commented positively on this, saying "The time jump is nice, since Jared Gilmore is starting to age out of his character.
Jason Evans from the Wall Street Journal said "I hope they figure out a way to bring him back as he's been my favorite character on the show since the very beginning.
"[15] Rebecca Martin from Wetpaint also commented on it, saying "Things we expected to happen in the Once Upon a Time Season 3 midseason finale: Peter Pan dying.
[17] Liane Bonin Starr of HitFix gave a worrying reaction to the episode, saying: Because this is Once Upon a Time, [sic] I don't know if I accept any character as really and truly dead, um, ever.
I suspect, given the ending, those big moves won't be as permanent or lasting as earlier scenes led us to believe.
[18]Natalie Abrams of the Seattle Post-Intelligencer also acknowledged the episode, saying, "Once Upon a Time will never be the same after Sunday's midseason finale.