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ToeJam & Earl in: Panic on Funkotron is the sequel to the hit Sega game ToeJam & Earl. At the end of the original, ToeJam and Earl successfully found all the parts to their spaceship, and make it back to the planet Funkotron, however unknown to them a group of earthlings have hitched a ride on the spaceship and now it's up to Toejam and Earl to capture them all and send them back to earth.
The gameplay in this game involves trapping earthlings in jars. To do this players must throw jars (the main weapon) at humans, different humans take different amount of hits. Once you successfully jar a human they can then be collected. To exit a level the player must have jarred all the humans on a level and deliver them to launch pad located at the end of the level.
This sequel makes several key changes to the original and because of this is often looked upon as the weak point in the series. The first and most obvious change is that the view has switched from an isometric perspective (in the first game) to a side-scrolling one. Another equally daunting change was that, unlike in the first game, the levels were no longer randomized or randomly generated, all the levels were specifically designed by level designers and appear in the same order every time. It should be noted that in Toejam & Earl 3: Mission to Earth ditched most of these changes.
Two Player mode
Like the original this game has a two player cooperative mode. However there is no split screen, rather both player occupy the main screen and must leave the screen together.
- Insane Fairy - He flies around and drops pouches of laughing dust on you. If you get hit by the dust, your character will start laughing uncontrollably making them vulnerable to nearby hazards or earthlings. Sometimes you can hear him go "WHOOOOOO!" as he does a loop-de-loop.
- Construction Worker - The construction worker moves around the level on a jackhammer. If you're too close, the vibrations from the jackhammer will damage you.
- Rich Fat Lady - The rich fat lady herself is harmless. However, she usually has 2 or 3 pink attack poodles nearby and will call them if she sees you.
- Pink Attack Poodle - Pink poodles that will bite the hell out of you. They aren't so bad if a Rich Fat Lady is around, however if you capture her first, they will frenzy.
- Tourists - There are male and female tourists and they both do the same thing... take pictures with flashing cameras that will deal damage and stun Toejam or Earl momentarily. To avoid damage, you must press down on the d-pad to cover your eyes before they take the picture.
- Earthling Boy - A young, black kid in a baseball cap. He'll shout, "Hey catch!" and throw tomatoes at you. Not too difficult.
- Earthling Girl - A snickering white girl. If she gets close to you, she'll kick you in the shins.
- Boogieman - The only enemy to make a return appearance from the first game. The Boogieman functions in the same way as he did in the first game, sneaking around invisibly as he sneaks up on you and slashes at you while yelling "BOOGIE BOOGIE BOOGIE!" If you know one is in the area, use Funk Scan to pinpoint his location, and then bombard that area with jars.
- Cow Ghost - A flying ghost of a cow. Hard to hit, flies pretty high. Cannot actually damage you directly, but is known to possess ToeJam or Earl, leaving them standing still and mooing, totally helpless to the attacks of other enemies until the cow ghost leaves.
- Naked Man In A Box - Exactly what it says on the label. Sometimes he'll sing an opera song, he's only vulnerable when he pops out of the box to sing or throw tomatoes at you.
- Dive-bombing Duck - A duck in WWI-era fighter pilot garb, riding on a flying carpet. He will divebomb you in hopes of hitting you.
- Balloon Boy - A floating kid with balloons tied to his butt. He'll hit you with spitwads if you aren't careful.
- Snood - Snood is a friend of Toejam and Earl. He also has like 15 eyes.
- Sharla - Sharla is a blue alien friend of Toejam and Earl, if you encounter her she'll want to hear some of your sweet rapping.
- Bloona - Bloona is a big fat one-eyed orange alien who will give you tips, she also has a crush on Earl.
- Lewanda - Lewanda is a purple alien chick in a yellow sweater with one eye who will give you hints too. Both Toejam and Earl have crushes on her.