|First appearance||"Take Care of Your Elf!"|
Hatty's Hats is a shop located inside Jollywood's village. Hatty is its owner, and its employees are elves who make the hats in the back room. In "Take Care of Your Elf!", Grumpy went to the shop to complain about the condition of his hat to Hatty.
In the series
Grumpy was at Hatty's Hats, angry about the elves leaving a smudge on his hat. Hatty can't do anything about the smudge, but instead persuaded Grumpy to go into the back room where the elves were working on the hats. After Grumpy telling that they were horrible at what they do, the elves walked off the job in protest (as does every other elf in Jollywood).