After an official is nearly caught sleeping with a woman by her husband, he hires a greedy sorcerer to do away with the not-so-courageous man. Corpses hop, kung fu fighters are possessed, and all manner of spooky, supernatural action occurs.
Sammo Hung stars in his definitive homage to the tales of horror that he enjoyed in his youth. Encounter of the Spooky Kind is a cult classic filled with terrific kung fu action, vampires, zombies, sorcerer duels of magic, and one of the most memorable endings in kung fu genre history.
Sammo is Courageous Cheung, a pedicab driver in a rural community who is known around town as the man who fears nothing. Well, this is proved false before the opening credits finish when he endures a particularly frightening nightmare of flesh-eating zombies. But, that's just the beginning of his run-ins with the supernatural. His friends decide to pull a scary prank on him that results in a ghastly ghost joining in on the fun. The plot finally kicks in when Cheung comes home early one day to find his wife in bed with another man. It turns out to be Master Tam, a prominent citizen who is also a regular client of Cheung. He escapes before Cheung can identify him and decides Cheung must die to keep this activity a secret. Tam hires a greedy master of witchcraft named Chin Hoi (Peter Chan) to kill Cheung without arising suspicions. Chin Hoi's accomplice (Wu Ma) bets Cheung to stay locked in a broken down temple for one night where a corpse resides. With advice from Lau (Chang Ti Chiang), Chin Hoi's brother, Cheung survives two fierce nights in the temple. Later, a plot by Master Tam to frame Cheung for murder fails to succeed after he escapes by hiding out in a funeral home. Even an attempt to take control of Cheung's body using voodoo is foiled by Lau. Finally, both Master Tam and Cheung become pawns in a vicious battle of the sorcerers as the two brothers square off in a final, fiery confrontation.