The film is inspired by the tale Ali Baba and the Forty Thieves from the 1001 Arabian Nights, replacing Ali Baba with Aladdin, and for the first time since the original Aladdin, the film has a completely new soundtrack instead of the rearranged music from the original film for The Return of Jafar and the series.
Though the film serves as the finale of the series, the characters also appear in a 1999 crossover episode of the animated series Hercules, titled " Hercules and the Arabian Night ", as well as the 2007 direct-to- video title called Disney Princess Enchanted Tales: Follow Your Dreams.
While the Genie and the people of Agrabah prepare for the upcoming wedding of Aladdin and Princess Jasmine, Aladdin retrieves his parents' dagger from his old home, telling the Genie how his father left him when he was a child. Meanwhile, the legendary Forty Thieves arrive at the city to raid the wedding, but Jasmine and the others fend them off, and Aladdin prevents the leader from stealing a specific scepter. After the thieves escape from the city, a powerful Oracle appears from the staff and informs Aladdin that his father is alive, but "trapped" in the world of the Thieves.
Aladdin follows the thieves to their hideout in Mount Sesame and reunites with his father Cassim, the King of Thieves. His second in command, Sa'luk, tries to execute Aladdin for trespassing, but the only way to avoid execution is to earn his place in the group by fighting for his life. Sa'luk falls off from the cliff to the sea, but survives and gives the hideout's password to Razoul in exchange for immunity from prosecution.