The area is a cardboard box with modeling clay as the floor and water dripping from the ceiling. Scattered across are pipe cleaners, a busted milk carton and a wad of paper. When Ned first enters, there is a moving paper fortune teller that he needs to hit. It will unfold, showing four faces: a vampire, a clay monster, a skeleton and a rooster. Ned has to hit one of the faces in order to fight it. Hitting a face will cause the paper to unfold completely and a deep voice will say, "Prepare for battle!" with the same words onscreen. The paper will then unfold and Ned will be in the battle stage for that enemy.
There are two health bars on the top screen, one for Ned and one for the boss and a timer in the middle. Ned has one minute (60 seconds) to defeat the boss before it defeats him or time runs out. If he drains the boss' health, the voice will say, "Finish him!" Ned must hit the boss one last time to win the battle. He will then return to the locker where the paper fortune teller can spin counter-clockwise for him to fight the other bosses.
For each boss Ned successfully defeats, a piece of a set will be shown. If he defeats all of the enemies, the locker will become a replica of the tale of George Washington chopping down the cherry tree. The George Washington model will use his axe to open the door of the house revealing the shortcut to The Attic, Basement and Beyond. If Ned fails four times, the locker will become a replica of George Washington crossing the Delaware. The stage will flood with water, becoming inaccessible and Ned will exit the locker. At any time in the locker, Ned can exit the stage by walking to the left, taking him back to Alcatraz Elementary.
- The Locker could possibly belong to Ned, as the manual says that the enemies are Ned's badly-made craft characters he made in Craft Class.
- This could also imply that Ned has poor art skills. This is referenced by the drawings on Ned's fridge in the game's opening and why the art projects want revenge on Ned for making them poorly crafted.
- It is the only boss fight in the game, as Ned cannot fight the shadows nor is there a final boss.
- The line, "Finish him!" when defeating a boss is a reference to the video game Mortal Kombat.
- Diving the reference further, the characters in Mortal Kombat are digitized sprites of the actors portraying them, much like the bosses in the locker are stopmotion-based monsters.