Pete, while steadfast and good-hearted, is not the best at defeating monsters. He does, however, have the only sword that can kill Badlug and free Grimoire from tyranny. Misty and Gorga need to clear the way for Pete; thankfully, they meet Zurrd, a witch with (somewhat) impressive powers and the key to Pete's deliverance. Unfortunately, it's in the Dark Treasury, which is nigh impossible to break into. Nigh impossible is still technically possible, though!