Princess Fiona's parents invite her and Shrek to dinner to celebrate her marriage. If only they knew the newlyweds were both ogres. Shrek has rescued Princess Fiona, got married, and now is time to meet the parents. Shrek, Fiona, and Donkey set off to Far, Far Away to meet Fiona's mother and father. But not everyone is happy. Shrek and the King find it hard to get along, and there's tension in the marriage. It's not just the family who are unhappy. Prince Charming returns from a failed attempt at rescuing Fiona, and works alongside his mother, the Fairy Godmother, to try and find a way to get Shrek away from Fiona.

After his swamp is filled with magical creatures, Shrek agrees to rescue Princess Fiona for a villainous lord in order to get his land back. When a green ogre named Shrek discovers his swamp has been 'swamped' with all sorts of fairytale creatures by the scheming Lord Farquaad, Shrek sets out with a very loud donkey by his side to 'persuade' Farquaad to give Shrek his swamp back. Instead, a deal is made. Farquaad, who wants to become the King, sends Shrek to rescue Princess Fiona, who is awaiting her true love in a tower guarded by a fire-breathing dragon. But once they head back with Fiona, it starts to become apparent that not only does Shrek, an ugly ogre, begin to fall in love with the lovely princess, but Fiona is also hiding a huge secret.