THE RETURN OF THE LIVING DEAD

On July 3, 1984, at the Uneeda Medical Supply Warehouse in Louisville, Kentucky, foreman Frank tries to impress new employee Freddy by showing him military drums of a toxic gas called Trioxin. The drums wound up in the basement of the building, due to a delivery error years before. While hitting the side of a drum to prove it is secure, Frank accidentally unleashes the toxic gas, which seemingly melts the cadaver inside and reanimates another cadaver stored in a meat locker. Joined by their boss Burt, the three try, to no avail, to kill the reanimated corpse by puncturing the brain, then dismembering the body. They discover that every part of the zombie's body can survive independently. Burt has the zombie incinerated at a nearby mortuary crematorium by his friend Ernie, but this inadvertently causes the deadly gas to contaminate the air, creating a toxic rainfall that reanimates the corpses in the nearby cemetery.

Meanwhile, Freddy's girlfriend Tina and his friends Spider, Trash, Chuck, Casey, Scuz and Suicide arrive at the cemetery to wait for Freddy to finish work. While Trash starts stripping and dancing on a gravestone, Tina goes to the warehouse and wanders into the basement, where she encounters the reanimated but horribly disfigured cadaver from the barrel that was assumed to have dissolved. The rest of the group arrives shortly after and saves her in the nick of time, although Suicide is killed. After Casey realizes she saw Freddy entering the mortuary, the group attempts to reach him through the cemetery, where they are attacked by the re-emerging zombies. Trash is killed and Chuck and Casey flee back to the warehouse, but Spider, Tina, and Scuz reach the mortuary. The three discover Frank and Freddy growing ill from their exposure to the gas and call for paramedics, who say their tests indicate the men are no longer alive even though they are conscious. Trash, her body submerged in the chemical-laden mud, rises from it transformed into a zombie and begins to hunt and feed. When Burt and Ernie learn of the dead rising from their graves, they barricade the mortuary. Scuz is killed while protecting the barricade and the zombies eat the paramedics and police who arrive on the scene. The group manages to grab the upper half of one of the zombies and restrain her on the mortuary table. She explains that the reanimated corpses can feel themselves rotting, and eating the brains of the living helps relieve the pain of being dead.

With Frank and Freddy showing signs of becoming zombies themselves, Burt has them locked in the chapel, accompanied by Tina when she refuses to abandon Freddy. Freddy soon attempts to eat Tina, prompting Burt, Ernie, and Spider to rescue her by reopening the chapel and blinding Freddy with a strong acid. Frank manages to escape during the chaos and, still having control over his mind, commits suicide by climbing into the cremator. Burt and Spider flee the mortuary in a police car, but the large number of zombie forces, now led by Trash, force Burt to leave Ernie and Tina behind. Ernie and Tina hide in the mortuary's attic, while a blinded Freddy attempts to break in.

Burt and Spider manage to get back inside the warehouse where they find Casey and Chuck. After incapacitating the basement zombie, whom Spider names "Tarman," Burt attempts to contact the police but learns they are massacred by the zombies after being overrun. Burt then decides to call the number on the military drums, which reaches military officer Colonel Glover. Notified that the zombies have taken over the area, Glover has the town destroyed by nuclear artillery on the morning of July 4, effectively killing Burt and the other survivors.

In the wake of the nuclear strike on Louisville, Colonel Glover is heard telling his commanding officer that everything went as planned and that the results could not be more positive. Only a small area was destroyed, he says, and casualties are limited. Unbeknownst to him, however, fires from the nuclear explosion are releasing trioxin into the atmosphere just as the crematorium had, now over a much wider area. As he speaks, the toxic rain falls once more, and zombies are heard screaming in their graves, indicating that the invasion is about to begin again.

The zombie epidemic escalates uncontrollably, leading to a catastrophic military response and widespread devastation.

The film concludes with the military deploying extreme measures to contain the outbreak, resulting in mass destruction rather than a tidy resolution. It’s a darkly comic commentary on bureaucratic overkill and the futility of trying to control what’s already out of hand, leaving the door wide open for more undead mayhem.