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Red gives Eric 40 bucks to buy a Christmas tree and says that he can keep the change for his party. So Eric, Hyde and Kelso cut down a tree off the interstate and keep the money. They spend the money on beer and Kelso buys Jackie a Christmas present. Laurie spikes the punch with rum and Jackie's friend's are all attracted to Fez all of the sudden. Red has to work on Christmas Eve and not long after he gets home cops show up at his door telling him that his Christmas tree was illegally obtained and that they have to confiscate it. Also Hyde has a thing for Donna.