Previously filmed in 1930 as True to the Navy, Kenyon Nicholson's old stage farce Sailor Beware returned to the screen in 1936 as Lady Be Careful. The plot remains substantially the same, as an amorous sailor named Dynamite (Lew Ayres) bets his pals that he can "thaw" icy beauty-contest winner Billie (Mary Carlisle). What follows is a series of misunderstandings, arguments and reconciliations, all wrapped up in a happy-ever-after conclusion.