Beerfest, a comedy based around competitive beer drinking begins with the death of Johann von Wolfhouse, grandfather to brothers Jan and Todd Wolfhouse who discover a family tradition that demands the spreading of one's ashes on the Theresienwiese in Munich, Germany. Gam Gam, their great grandmother buys the brothers tickets to travel to Munich during Oktoberfest, where they meet Mr. Schniedelwichsen, who is to show them to the family resting place. While waiting for Mr. Schniedelwichsen the brothers inadvertently start a brawl, resulting in the Oktoberfest tent coming down.
The brothers are lead by Mr. Schniedelwichsen to Beerfest, a beer drinking competition. There the brothers are conjoled into participating in the competition and earn a humiliating loss to their cousins, the German National team. Jan and Todd are then told that their grandfather had stolen a priceless beer recipe, then ran away to the U.S., which the brothers later find out is a lie.
Jan and Todd return to Colorado, vowing to return and win Beerfest and redeem their family name. Recruiting drinking buddies from their college days, the brothers build a team and train for the next year's competition. During their training Jan and Todd discover the lost beer recipe, which the team uses to brew a batch of Schnitzengiggle Beer. This beer is by far the best beer they have ever tasted, as a show of resistance, they send a bottle to the German team. This ends up bringing their German cousins to America, where they try to steal the recipe.
When Jan and Todd return to Germany the next year they discover that they have forgotten how to get to the Beerfest location. They rediscover the location after getting Todd drunk, hiding inside an empty wooden keg they gain entry into the competition. Once again the brothers are beaten but suggest a double or nothing final round, offering the prized recipe as reward. This time they win, by only a single drop.