When Mikan's best friend Hotaru transfers to the mysterious Alice Academy a worried Mikan follows her. When she arrives she meets a teacher at the school, Narumi, who tells her the only way for her to see Hotaru is to become a student of the school. Without hesitation Mikan agrees and thus begins her life at Alice Academy!

Mikan is accepted into Alice Academy and can finally see Hotaru again. She also meets the other people in her class and gets a huge shock when she finds out that everyone in the school has a special power or Alice.

Mikan learns that everyone in Alice Academy has an Alice and that people with Alices are valued by the world. Alice Academy was designed to train these "elites" and so only those with Alices are allowed in the school. When the class finds out that Mikan doesn't know her own Alice they start to bully her but Mikan stands up to them and says that she trusts Narumi who told her she had an Alice. Natsume then challenges her: if she can survive going through the North Forest then he and the rest of class will accept her.

In the North Forest Mikan, Hotaru, and Iincho get trapped by a violent Teddy Bear, and a giant chick. The group forces Ruka to help them as his Alice allows him to tame animals including the giant chick. When Natsume hears that his best friend has been forced to help, he gets angry and tries to burn Mikan with his fire Alice. Before he can do it though a bright blue light engulfs everything and Natsume is unable to use his powers. Could this be Mikan's Alice?

Mikan has finally been accepted by her classmates after discovering that she has the nullification Alice. However after getting on the wrong side of a teacher Mikan is given the lowest ranking of the school: a no star. This means that Mikan will now have to live with the worst of everything including food, dorm, and chores.