William Stansbury was a sea captain during the 19th century, who was shipwrecked on the exact same island that Louie found and settled his club upon. When Louie and Baloo go underneath his club and find a chest of sea captain clothes, they come across a pink sparkling light that is soon revealed to be Stansbury's spirit.
When Baloo forces Rebecca Cunningham to come to Louie's to investigate the club, all she sees is a mess. Rebecca, overworked and tired, just shrugs off their party behavior. Both insist the club is haunted, and that if it is haunted, Louie would be forced to close his club. Tiredly amused, Rebecca teases that if it were true, she'd give the ghost a kiss.
Unknown to them, that sparks interest in Stansbury. Before she can leave, they're greeted by a dashing lion in the garb of a sea captain. Though Captain Stansbury and Rebecca hit it off quite well, Baloo and Louie, on the other hand, are criticized by the captain for the mess in Louie's, as well as Baloo and Louie's attitude towards Rebecca.
Being from the 19th century, he is not used to seeing a woman like Rebecca: an independent lady who runs a business, as well as handles being a mother at home. He is also not used to seeing an airplane. Regardless, he is impressed by Rebecca and the Sea Duck, which makes him enamored with her all the more.
After Rebecca finds a place to sleep on the island, Stansbury awakens her and takes her on a midnight walk. As they walk, Stansbury places a flower in Rebecca's hair and begins inviting her to the idea that she could stay with him forever. After he returns to Louie's, he is captured by Louie and Baloo, only to set himself free and take out his sword. He ultimately decides to take Rebecca with him and summons the ship he once captained.
As it flies in the sky, Baloo and Louie are made into cabin boys and Rebecca is encouraged to stay with him and sail the skies with him forever. Baloo tries to tell him that he is a ghost, all the while Rebecca sees it all as a beautiful dream.
When Louie finds a book about magic spells of the sea, he and Baloo find that they can force Captain Stansbury and his ship back to the heavens. As they try to do so, Rebecca tries to stop them and accuses them of trying to ruin her dreams. Captain Stansbury encourages her to stay, but it is ultimately Baloo who convinces her to let Stansbury go as he reminds her that she needs to go home, live her life, and be a mother to Molly. Though both Rebecca and Stansbury are saddened to part ways, the sea captain respects her decision and they both hope that they will meet again.
Rebecca continues his legacy by telling Molly a story about the Captain and his lady, who sail together.
It is important to note that while Captain Stansbury is technically an antagonist, he is nothing like other TaleSpin antagonists such as Trader Moe, Covington, or Don Karnage. While most antagonists on this show are rude to nearly everyone they meet and conduct acts that they know are villainous and harmful to others,
Captain Stansbury's antagonistic role comes from his loneliness and ghosthood. He wants Rebecca to stay, but he doesn't force her or threaten to harm her if she chooses not to. Unlike other antagonists, he is a wellmeaning gentleman and treats well mannered people like Rebecca well, and only mistreats those who are disrespectful, like Baloo and Louie for a time. Unlike some of the other villains on this show, he has a rather benevolent motivation, in simply desiring companionship.