Plot hole: Throughout the film we see several characters talk about how there's no Christmas spirit and how nobody believes in Santa anymore. If, in this universe at least, Santa does exist, it's almost impossible for people to think this. If the parents deliver the presents then how do they explain the excess gifts that Santa brings? We know that Michael is on the nice list because Santa shows him towards the end, so Michael must get presents from Santa. There is no way that Walter can't believe in Santa then because Michael gets gifts from him every year.
Continuity mistake: In the very beginning, when the nun puts the baby in the crib, she puts a blanket on him he pushes it down to his feet, then the camera goes to the nun walking out of the room, and when we see the baby again the blanket is covering him again. (00:04:25)
Buddy: We elves try to stick to the four main food groups: candy, candy canes, candy corns and syrup.
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