The girls arrive at the graduation ceremony just in time, and Blair confidently makes an open claim to the throne, stating that she is Princess Sophia. Emily and her mother, who are watching the action at the TV, gasped in shock.
The royal judge, who crowns the princesses and Lady Royals, takes Blair seriously, but Dame Devin, now furious, tries to stop her. They begin to fight over the crown, before Delancy manages to catch it and then has to decide whether to give it to her mother or to Blair. In the end, she chose to give it to Blair, and when she puts it on, it immediately illuminates and transforms her appearance magically, to look more like a princess.
Dame Devin, amidst her outrage, exclaims that she killed Queen Isabella just so that Delancy could be the princess, instead, and thus is arrested, while a disheartened Delancy watches on as she gets dragged away. At Miss Privet's prompting, Blair makes a quick, introductory speech, telling the people of Gardania that she is honored to be their princess. Miss Privet then tells her that now is the time when she must select a Lady Royal, and Blair, feeling sympathy for Delancy for helping her so much in this mission, chooses Delancy, who is delighted and then crowned.
Later that evening, at the graduation party, everyone dances to Isla's one of her finally revealed songs, "We Rule This School," which she also DJs for. Even Miss Privet dances along with her students, while the now Prince Nicholas arrives and meets up with Blair again. He states that he is unsure of whether to call her Blair or Princess Sophia, but she assures him that she wants to continue going by the name "Blair."
