Dooley and Jerry Lee are at it again. The day after Dooley (James Belushi) retires as a detective from the police force, he finds himself -- and his faithful canine companion Jerry Lee -- chasing high-tech burglars who have stolen a valuable prototype computer chip. Trouble is, Jerry Lee has eaten one of the chips, and the other three won't work without it. Meanwhile, Dooley is convinced to breed Jerry Lee and winds up with a crush on the female dog's owner (Barbara Tyson), however, a mysterious and beautiful client looking for her missing boyfriend has breeding ideas about Dooley of her own. Once again, Dooley needs Jerry Lee to rescue him from danger and straighten out his love life.