I have had this model for some time and got the clothing plugin from Daz to test on this except I can't seem to find the pluggin or see how it works. Heck I don't even know if it will work on this clothing. I need to fix it so it lays on her legs and her legs don't poke through. Any help?

Thanks!

I found the tab but now I am thinking that the Alice clothing is not Dynamic?

The only clothing that works with the plugin right now.. is the dynamic clothing from Daz.  :(
I bought a couple of the outfits and I  must say that I'm very satisfied with all of it.  I really like the way the  nightgown drapes.
There is a tablecloth there that drapes beautifully and you can make many things out of it besides a tablecloth.

Go here and look around...about half way down there are some  pdf's on the dynamic clothing  and how to use the plugin

http://artzone.daz3d.com/wiki/doku.php/pub/tutorials/dazstudio/tutorials

Just a suggestion, go to the scene tab and select the Alice dress. Click on the small plus square to open it up to reveal more. Find the Hip and open it to rThigh (right thigh) I am guessing this is where the problem may be. Can you see any items that points to the front or right of dress. Adjust rotation and if all is well, you will be able to adjust other areas of the dress too.

I don't have this particular item, but I hope is does help you.

As well as looking for handles (extra bones attached to the hip of the dress) try selecting the hip and look to see if there are morphs to adjust its drape. Most dresses, robes and skirts will have one or both.

Thanks all!