Lily and Jonathan were about to walk into their apartment. Jonathan told Lily there was a surprise inside. Lily was upset because she did not have good experiences with surprises in the past. She told Jonathan to get rid of it or she would never go into the apartment. Jonathan promised it was a good surprise and asked her to trust him. Lily finally went inside. On the table, she saw a flower arrangement. Lily realized they were the same flowers that were in her wedding bouquet. Jonathan said it was for their two month anniversary. Lily was very pleased. She then decided to stay up late and finish her MIT application. She wrote her application essay on normality. Lily described how she used to feel abnormal because of her disorder. She went on to say that Jonathan made her feel normal because she was happy being herself with him. Jonathan thought her essay was coming along very well. He fell asleep on the couch as she finished. Jonathan dreamed he walked into their apartment and it was empty, except for a note from Jack. It said, "You may be fooling my daughter, but you're not fooling me!" Lily woke Jonathan up because he was making weird noises. Jonathan explained he had a nightmare, in which she left him. Lily asserted she would never leave him. So, Jonathan finished reading her essay and was very impressed by it. Then, there was a knock at the door and Lily went to answer it.
Kendall asked Tad why he thought Dixie and Zach killed Dr. Madden. Tad was evasive and apologized for saying they were guilty. Kendall was not satisfied and claimed Tad knew more than he was telling her. Tad got agitated and began to vent about Kate. He also expressed his disappointment that Dixie turned to Zach for help instead of her family. Kendall said Tad made it sound like something was going on between Dixie and Zach. Tad told her once Dixie got her hooks in a man, he would do anything for her. Kendall persisted Tad tell her everything. Tad yelled at her to stop and warned her not to look further because she would not like what she found!
Dixie and Zach were still in jail. Zach told Dixie he would get them out of this mess. He also encouraged her to get some rest. Dixie listened and fell asleep on her bed. She dreamed a little girl walked up to her cell. It was dark and she could not see the girl's face. As she called out for Kate, pictures of little girls fell all around her. Then, the little girl walked away from Dixie. Zach called out to Dixie and she woke up. She told him about the dream. Dixie said she would rather live in those dreams because it was the only way to see Kate. Zach implored her to fight. Then, Tad walked up and told Dixie to listen to Zach. Dixie asked if Babe was found and Tad said she was not. Dixie assumed JR was a wreck. Tad said JR was not the only one. He stated Kendall came to see him and left very upset. Zach was angry with Tad because he thought Tad upset her. Tad said he did not have to because Zach already had. Tad then admitted he thought Dixie and Zach were guilty. Dixie was shocked. Zach told Tad to leave Dixie alone, but Dixie wanted to hear Tad's thoughts. Zach sternly told Dixie to stop and she became quiet. Tad was appalled by Dixie's obedience to Zach. Tad proceeded to ask Zach why he was stupid enough to leave a fingerprint in the coffin. Zach said he would never be so stupid and this proved they were set up. Dixie inquired why Tad was being so mean after they had gotten back on good terms. Dixie said she had hope after they acted like a family on the beach. Tad said he had hope, until Dixie and Zach buried it. As Tad walked away, it was evinced that Chief Frye was eavesdropping on the whole conversation!
Ryan was holding Spike outside of the condos. He was looking to see if Kendall was home yet. He talked to the baby and said he could not be happy unless Kendall was. So, Ryan was determined to get Zach out of jail for Kendall's sake. Then, Livia came over. She admitted the case against Zach and Dixie was very strong. She said they would be lucky if a judge let them out on bail. Nevertheless, Livia said she would believe her clients were innocent until they told her otherwise. Ryan urged her to do all she could for Zach and Dixie. Then, Spike began to cry. Livia and Ryan went to see him in his crib. As they smiled over the baby, Livia told Ryan that if Zach was indicted, Kendall and Spike would need him more than ever. After Livia left, Kendall came home. She informed Ryan of her encounter with Tad. She also vented about her distress over Erica and Josh. Ryan reassured her Zach was not lying and that everything would be fine. He made her sit down and relax. As he rubbed her shoulders, she fell asleep. Kendall dreamed she heard a loud banging outside. She went to check it out and saw Zach nailing a coffin shut with Dixie. Dixie then turned to Kendall and gave her a wicked smile. Kendall woke up and exclaimed, "They did it!" Ryan assured her it was just a dream. The next morning, the nanny was there and Ryan was on the phone with Livia. When Ryan was done, he informed Kendall that Zach and Dixie were about to be arraigned.
Babe and Josh were engaged in a kiss. When they pulled away, they looked into each other's eyes. Josh leaned over to kiss Babe again, but she pushed his face away and said no more. Babe told Josh she was flattered, but still loved her husband. She proceeded to explain she made the mistake of being unfaithful before and would not do it again. Josh wanted to be more than friends and believed Babe would also, if JR was not around. Babe said if Josh could not accept their status as friends, then they could not have contact after they were rescued. Josh was unhappy, but agreed to take what he could get from Babe. They shook hands and made a pact to keep their relationship platonic. Then, Babe fell asleep. She dreamed JR was kissing her. He told her their son was waiting and he would always keep her safe. Meanwhile, Josh saw Babe tossing in her sleep. He moved next to her and held her in his arms. Babe softly called out for JR.
JR was certain he saw land, but Jamie said he was wrong. The captain affirmed there was no land and that a dangerous fog was rolling in. JR asserted he would not quit. Then, JR said he saw a body and jumped into the water. Jamie immediately jumped in after him. Julia stood worried. Finally, Jamie carried JR back aboard, but he was not breathing. Eventually, JR became conscious again. Jamie told JR it was a piece of wood in the water, not a body. JR was distraught and said Babe had to be alive. Julia and Jamie saw how stressed JR was and urged him to rest. JR reluctantly gave in. Jamie joked about how lucky Julia was to be with him during numerous misadventures. Julia said she was worried when Jamie jumped into the water. She stated she did not want to lose him. Meanwhile, JR dreamed he found Josh, but not Babe. Josh said Babe died. He maintained JR lost her, like he lost every other woman. Josh also declared JR did not deserve any of the women in his life. Then, Jamie woke JR and notified him that the captain spotted a small island. The three rushed off. On the island, they found Babe and Josh sleeping in each other's arms!
Lily told Jack that she wouldn't go home with him and that she was going to stay with Jonathan. Jack tried and tried to explain that Jonathan was playing her and that his only goal in filing the petition was to protect her. Lily took offense to the petition that claimed she was incompetent. Lily continued to tell Jack that she was happy and she wanted to stay with Jonathan. Lily was so distraught she began rocking back and forth, but Jack told Jonathan he would pursue this until Lily was away from him. Jack continued to threaten Jonathan and to tell Lily he only wanted what was best for her. Jack told Jonathan that he needed to end this and walk away like a man. After Jack left, Jonathan told Lily that he would continue to fight Jack and never let go of them. Lily asked him to hold her. Very gently and with Lily's permission, Jonathan hugged her.
In the courtroom, Zach and Dixie were arraigned. Dixie told Di and Del that she had to make bail so she could continue to search for Kate. The judge arrived and Livia petitioned the court to dismiss the charges. He said there was sufficient evidence to hold them over for trial. Livia argued that her clients were not a flight risk, but the judge set bail at 2 million dollars. Palmer paid to have Dixie bailed out of jail and they walked away arm in arm. Derek wanted Tad to tell him why he had turned on Dixie. Tad went through the laundry list of Dixie's sins and finished with telling Derek that she was sleeping with Zach Slater. Kendall just happened to be behind him when he reveled his suspicions.
At the PV Yacht Club Erica sought the sage advice of Myrtle. She said that all she wanted was for Josh to be alive and if she could bargain for his life she would. Erica told Myrtle she just wanted some kind of a bond. Jeff came and told Erica that Josh was alright. Joyously, Erica said she would make everything perfect for Josh and from now on his life would be everything he wanted.
J.R., Jamie and Julia found Babe and Josh on the island. Josh admitted that he took Babe against her will. J.R. didn't take the kidnapping well and continued to attack Josh telling him his career was over. Even after the plane crash and finding the survivors alive, there was plenty of hate to go around. Babe played the mediator and asked Josh to go back on the boat with them. At the marina, Krystal went off on Josh, but Erica came to his defense.
Colby and Sydney had a typical spoiled Paris and Nicole girl fight and after Sydney dumped the French toast in Colby's lap, she tried to get her fired. Krystal told them to play nice and Winifred told Sydney that one more mess up, she would send her home. Krystal got a call and found out that Babe was alright and she and Adam left to meet Babe at the marina.
Jamie and Julia walked into Jamie's apartment and could not keep their hands off each other. Julia ripped Jamie's shirt off and Jamie kissed her intensely. Julia suggested they take a shower. Jamie picked her up and they went into the bathroom, not realizing they left the front door open. After the shower, they laid naked in bed together. Then, Brooke walked in! She was surprised to see Julia and apologized. Julia apologized also and left the room, embarrassed. Brooke told Jamie she came in because the door was open. Jamie explained Julia was more than a fling. Brooke was astonished because of the age difference. Jamie told his mother he loved her, but she had to let him go. Brooke left. Julia came back in. She was upset both Brooke and Joe walked in on them having sex. She asked if his whole family thought she was a nymphomaniac. Jamie assured her it was fine.
Kendall looked upset and Zach asked her what was wrong. Tad said she just found out her husband was sleeping with Dixie. Zach said Tad was either confused or blatantly lying. Kendall told Tad it was not true because Zach risked everything for her and Spike. Tad affirmed he saw a "pants popping kiss" between Dixie and Zach at the casino hotel. Zach wanted to go home. Tad asked why Zach was not denying his accusation. Tad claimed Zach looked guilty and left. Then, Kendall asked Zach if he slept with Dixie. He denied it. She inquired why Tad would fabricate the story. Zach proceeded to admit they kissed. He explained Dixie was a wreck and her kiss was desperate and meaningless. When Kendall realized Dixie kissed Zach, she exclaimed, "I'm so sick of that little bitch!" Zach continued to tell her there was nothing between him and Dixie. Kendall believed Zach, but still had a hard time accepting their friendship. She suggested Zach have Dixie find a new place to live. Also, she wanted Zach to get a separate lawyer and end his relationship with Dixie. Zach said he could not get another lawyer because Dixie would look guilty. He stated it was important Kendall trust him. Kendall said she did trust him, but when it came to Dixie, his words were not enough. Then, she left the courthouse.
At the yacht club, tensions began to flare over Josh and Babe's arrival. Erica demanded Krystal leave Josh alone. Krystal asked if Erica was truly being maternal or if she was just trying to save face. Then, Erica and Jeff asked to speak with Josh. He said no and went to leave. Babe called Josh back and they began to speak privately. Babe reminded Josh of his promise to stay and talk to Jeff and Erica. Josh was reluctant. Babe believed she knew the real Josh. She urged him to stay and talk to his parents, so he would not miss out on love he never expected. Meanwhile, Erica fought with Krystal, JR, and Adam. Both sides thought Babe and Josh should stay away from each other. Then, Babe returned and told JR she wanted to go home. Before she left, she saw Josh agree to talk to Jeff and Erica. She smiled.
Erica, Jeff, and Josh went onto Erica's yacht to talk. Erica and Jeff offered Josh food and a blanket. Josh said they did not have to act like parents. Erica asserted it was not an act. Josh said he understood they did not want him in the past and still did not want him. Josh was sick of being a miracle child and looked forward to living his life freely. Erica then explained Jeff had no idea she was pregnant and did not know she had an abortion until after the procedure. She stated Jeff would have moved heaven and earth to have been Josh's father. Josh asked if she regretted the abortion or the fact that it did not work. Erica told Josh she would not lie to him anymore and admitted she regretted neither. Erica further explained she was not ready to be a mother at the time, especially because of emotional events from her past. Josh figured Erica felt obligated to have a relationship. Erica disagreed. She told him how devastated she was when she heard his plane crashed. Erica said she sincerely cared for Josh and wanted to be in his life. Josh needed to leave because the information was too much for him to handle. Jeff asked Josh not to analyze the information because logic rarely applied to matters of the heart. Josh left. Jeff assured Erica they made progress and that Josh just needed time.
Babe and JR were kissing and hugging Little Adam at home. After Winifred put their son down for a nap, JR confessed how worried he was while Babe was missing. She believed it was ironic because he tried to have her killed recently. JR said he thought God was punishing him with her plane crash. He proceeded to tell Babe how much he loved her and they kissed passionately. Then, JR asked Babe what she said to Josh to make him stay. Babe was annoyed by the question. JR also asked if she left ConFusion with Josh because of compassion or revenge, since JR played the CD. Babe asked JR if he played the CD to help his family or hurt Josh because he liked her. JR admitted it was for both reasons, so Babe admitted the same. JR did not understand why Babe cared about such a shallow person. Babe proved Josh had feelings by revealing he was in love with her. JR was angry. He asked Babe to end her friendship with Josh. Babe refused and assumed JR did not trust her. He said he trusted Babe, but not Josh. Babe said JR needed to decide whether or not he completely trusted her and when he did, she did not want to have this conversation again. Babe left and went to the Fusion rooftop. As she stood there, the door opened and Josh walked out.
Dixie, Adam and Krystal remained at the yacht club. Adam invited Dixie to have lunch with them. He also offered his help in keeping her out of jail. Dixie was surprised and skeptical. Adam believed JR could not handle his mother in prison. In turn, he accredited his empathy to his happy marriage with Krystal. Then, Tad walked in and looked distraught. Dixie asked what was wrong. Tad said he was wondering what happened to the woman he fell in love with. Adam sighed and asked for a glass of wine, but Krystal did not partake in the drinking. Meanwhile, Dixie told Tad that neither of their past personas existed anymore. She could not believe how mean and bitter Tad had become. Tad was appalled that Dixie gave away Kate and was sleeping with a married man. Dixie denied this and scolded Tad for being hypocritical. Adam was not shocked Tad was involved with another married woman. Adam warned secrets like that were always divulged in Pine Valley. Then, Adam looked at Krystal. Krystal looked sheepish and wanted to leave, so they did. Tad then told Dixie to leave Krystal out of this. Dixie claimed she was only trying to protect herself from Tad's attacks. She asked if Tad wanted her to go to jail so he could find Kate and keep her to himself. Tad said Dixie was the one who killed a man. Dixie was disgusted by his accusation and went back to her hotel. Once inside, she heard a knock and answered the door. Kendall stood there and inquired if Dixie was in love with Zach. Dixie asked, "What if I am?" Meanwhile, Tad was still at the yacht club. Zach walked in and saw him. He approached Tad, did not say anything, and punched him across the face! Tad hit the ground immediately!
Adam and Krystal were home. Adam laughed that "Tad the Cad" was back with a vengeance. He believed Tad was involved with a married woman because he had done this so many times before. Krystal stated it was none of their business. Adam looked at Krystal sternly and asked if it was any of their business.
Josh and Babe meet by chance on the rooftops of Fusion. One look at his face tells her that things with his biological parents didn't go well. As she hugs him comfortingly, Erin briefly appears in the doorway. She takes off as quickly as she appeared, not wanting to be seen. When they part, Josh tells her that Erica and Jeff fawned all over him and tried to make him understand - and with every word, it was reinforced that he didn't belong anywhere and that he and everyone else would have been better off had he perished in the crash. Babe tells him that she is glad he survived. He tells her that she is only glad because otherwise, she would have perished too. She denies that, saying that he is one of her few friends - perhaps her only friend - and that is why she is glad he made it. She then asks him to tell everything that happened while talking to Erica and Jeff. He tells her that they kept saying they wanted to get to know him, but he believed it was out of guilt. Babe thinks that Josh just needs to give them a chance, but Josh thinks they had chance enough. He feels they could have come forward when he was going through finding out exactly who Greg Madden was, but instead the only person that did was Babe. He tells her that he has very little desire to make nice with either the Kane or the Martin family, and plans to stick with his original plan and take the job in Geneva. Babe refuses to support that, saying that she didn't go head to head with JR over him to simply wave goodbye. She tells him that he should take some time in Pine Valley and see whether or not he feels differently about his new families once the craziness settles down. Josh asks what she thinks he should do while he waits for all of that to happen, and she tells him that he should go back to work. He tells her that he can't work where Jeff, Jamie and Dr. Joe will be breathing down his neck. Babe then says that he has a ton of skills and that he could find another job with no problem. An idea comes to her, and she tells him that she just thought of the perfect job with the perfect boss.
JR arrives in the Fusion offices, and Erin is the first person that he sees. He asks after his wife, and after telling him that Babe is on the roof, Erin does her best to stall. JR sees right through her and guesses that Babe is with Josh. JR starts to rant about how Babe should have ditched Josh after he crashed a plane with her in it. Erin replies that with that reasoning, Babe should have dumped him for trying to kill her on purpose. JR then says that Josh's ultimate goal is to get laid and that he keeps trying to tell Babe that to protect her. Erin thinks that by doing so, he is telling Babe that she is stupid and na´ve. JR begs Erin to stop him from going up on to the roof because he might just push Josh over the edge. He admits that he is trying to keep cool, but leaving them alone doesn't afford him that privilege. Erin thinks that he should just trust Babe and let her have a friendship with Josh, but JR thinks that will never happen - especially since Josh told Babe he loves her. Erin pretends to think that is a serious move, and then reminds JR that Babe is committed to him, and that there is no threat. JR can't let it go, thinking that he needs to do something to maintain possession of his wife and family. Erin continues to try to work as JR uses her as a sounding board. Just then, his wife and Josh arrive back in the offices, and Babe is taken aback when she sees JR. He tells her that he came to check on her since normal people usually take a day off after going through a near-death experience. She tells him that she is fine, and Erin offers to show Josh the way out. He tells her there is no need - as Babe was just about to give him the tour, including showing him to his new office. Erin is stunned and asks what Babe is up to. She tells both Erin and JR that Fusion is about to embark on their new teen campaign, and to JR's chagrin, because it is a highly visual project, it seemed only right to hire the former producer of New Beginnings to help out. With clenched teeth, JR asks if he can speak with Babe alone. She asks Erin to help Josh get started with the new employee forms, and she and JR go out into the foyer. JR tells her that she is really trying his patience by hiring Josh to work with her. Babe tells him that if he would just trust her, this wouldn't be an issue. He says her that he can't tell her who to be friends with or who to hire - but he does want something in return for not fighting her on her decisions. He asks her to come home with him so that they can have a play date with their son. Babe thinks it sounds like an excellent idea, and asks him to give her a few minutes before they go so that she can give Josh the tour. She kisses him lightly on the lips and then heads off with Josh. When they are gone, Erin notes that she can't believe that JR managed to control himself. JR tells her that trusting his wife has to be enough. Erin notes her admiration for him and how he fights to keep his family. She then offers to help him out - saying that she can show Babe how dirty Josh is by having some meaningless sex with him. JR thinks she is too nice to be sullied by any dealings with Josh, but Erin is insistent that this is the right thing to do. JR tells her that if this works, he will owe her. She tells him that she will hold him to his promise just before Babe and Josh emerge from the depths. As Babe and JR prepare to go, Erin offers to catch Josh up to speed, and Babe thanks her for it. Once Babe and JR are whisked away by the elevator, Erin asks if Josh is ready for a crash course in what she does. Josh tells her that he is up for the challenge.
Adam continues to question Krystal about what married woman Tad could have possibly slept with, per Dixie's accusations. Krystal tries to dodge offering an answer, but to no avail. Adam tells her they both know why he's asking. Krystal continues to build her wall of denial, despite Adam pointing out that she would be the one person who would know, considering that she spent a night with Tad recently. Adam finally gives up, saying that they should focus on their own sleeping arrangements for the evening. He leans in and plants a kiss on his wife, and when they part, he has a curious look on his face. Before it can be explained, Colby comes screaming out onto the patio - declaring that Sydney will come to harm for ruining her clothes in the wash. Adam tries to make heads or tails of the accusations, but Sydney and Winifred make an appearance before Colby starts to make any sense. Colby repeats her allegation and Winifred, shocked, asks Sydney if she was really responsible. Sydney feigns innocence, claiming that she didn't know the clothes would shrink. She then shows off Colby's handiwork - "White Trash" on the back of Sydney's favorite top. Adam thinks they should talk out their differences with some maturity, but it doesn't happen. Krystal tries threatening to take away Colby's party again, but she simply turns to her father to make it better. This move gives Sydney more ammo to taunt her new nemesis, and at this, Krystal decides to take her leave. Adam puts his foot down, says that Sydney will be staying on, and that they will take her shopping for a new top. Winifred reminds Sydney to thank Adam, and they retreat inside once she does. Colby immediately starts to spew lies about how horrible Sydney is, much to Adam's amusement. He stops her after a few moments and tells his youngest child that he knows that Sydney is a straight A student and a track and field star - and that he brought her here to be a good influence on Colby. Colby takes it the wrong way and plays the pathetic card by saying that despite her best efforts, she ended up a loser with zero priorities who can't make her father proud. Adam takes the bait and tells her that he loves her, will always be proud of her and is glad to have her back home. Colby admits that she thinks her days are numbered because Krystal hates her and wants her gone. Adam tells her that a little discipline won't hurt her but Colby sulks, saying that Krystal took her party away for no reason. She tells him that they have missed so many birthdays together, and that this one would make up for all of them. Adam notes that she inherited the Chandler gift for negotiation, and agrees to talk to Krystal. In return, he asks that she get along with Sydney, and especially with Krystal, as she is a very important part of his life as well. Colby promises that she will do her part to keep the peace if Krystal promises to stop threatening her party. Adam takes a moment to ask her if she wants to have her party at the house or at the Valley Inn. Colby tells him that her party needs to be in New York with the hottest stars and ice sculptures, and that her present should be a weekend car that she can give him the specs for later. Adam bursts out laughing and tells her that it won't happen. He then goes inside, chuckling all the way. Once alone, Colby whips out her cell phone and calls Hollywood Records, saying that she needs to book Jesse McCartney for her party, regardless of cost.
Tad slowly recovers from Zach's hook to the jaw, and makes a quip about Zach needing to make his intentions known in a nicer way next time. Zach tells him that by now, just about everyone is aware that he has it in for his ex-wife, and informs Tad that he will not be allowed to put Dixie away for murder. Zach tells him that his vendetta is over, because Dixie is under enough pressure. He demands that if Tad needs to take a shot at someone, he should do it at Zach and leave both Dixie and Kendall out of it. Tad says that Dixie put herself under pressure, and that perhaps they should have been more careful about cleaning up after themselves. He then asks if Zach believes Kendall should stay in the dark about what he saw, and Zach tells him that what he thinks he saw was, in actuality, nothing. Tad tells Zach to keep his fists to himself, and promises that if Zach or anyone who works for him gets in his way, he will make a beeline to Derek and will divulge everything he knows.
Kendall arrives at Dixie's suite at the casino and asks the former Martin if she is in love with Zach. Dixie tells her it is possible and asks what she plans to do about it. Kendall tells her that she won't do anything - Dixie will by staying away from Zach. Dixie tells her that whatever her feelings are for Zach, he loves his wife so they don't matter. Kendall asks why Dixie decided to throw herself at Zach if she was aware of his feelings. Dixie asks where she got her information, and Kendall says that Tad couldn't shut up about it. After noting that Tad should keep his nose out of her businesses, she says that it was one kiss and now it's over because it means nothing. She then asks why Kendall doesn't trust Zach. Kendall insists that she does, but Dixie doesn't believe her, saying that Kendall wouldn't have shown up if that was the case. She says that Zach is a rare find - when he gives his word, he means it. She goes on to say that if Kendall doesn't know that by now, she doesn't deserve him. Kendall asks if Dixie would go after him if Kendall ended things, and Dixie confirmed as much in no uncertain terms. Then, without further ado, Dixie invites Kendall to leave before she heads off to take a shower. A short time later, Dixie emerges to find Kendall still in her room. Kendall tells her that she had better stay away from her husband, and Dixie asks if her words were meant as a threat. Kendall says that it's just a warning, and Dixie shrugs her off as unbelievable. She notes that Kendall is reminiscent of Erica - here she is with a successful company, a wonderful husband and son, and yet all she can think about is whether or not Dixie had sex with her husband. She reminds Kendall that Zach is up on murder charges and that perhaps that was a bit more important. She is interrupted by a knock on the door, and when Dixie opens it and reveals Zach on the other side, she turns and asks Kendall if she wants to leave or stay and watch her seduce Zach. Zach chastises Dixie for her words and she immediately apologizes. Kendall pipes up and says that she should have been the one to apologize because she didn't realize he had an appointment. She storms out and with a disgusted sigh, Zach shuts the door. He tells Dixie that she should take it easy on Kendall because she's had a hard year. He also tells her that even though Kendall has a hard time believing people, she's trying and she should get points for that. Dixie agrees and promises to make a change. Zach starts to go after her and then stops short, saying that he showed up to tell her about his chat with Tad at the club. After noting that it must have been a lovely time, she says that even though Tad is wrong about most things, he is right to blame her for everything that happened with Greg. Zach asks why she continues to listen to Tad and his blaming of her. She reminds him that many other people have been listening to Tad, and Zach says that they don't know anything. She tells him that she already owes him enough - so if he is smart, he would leave immediately and go home to the woman who loves him back as much as he loves her. Zach tells her that he shouldn't go because she deserves the best treatment as a guest in his hotel. She begs him to go and so, with only a moment of pause, Zach takes his leave. Alone again, Dixie pulls out the box of pictures and painfully starts to go through them again.
Krystal shows up at the Yacht Club and demands to know if Tad told Dixie about their one-night stand. Tad reveals that while he didn't say anything, Dixie saw them. Krystal crumples a bit, worried that Dixie could drop her bomb of knowledge when she least expects it and blow Krystal's marriage to bits. Tad insists that because she is facing a murder charge, Dixie won't have time to do anything of the kind. Krystal doesn't believe him, and Tad says that she will have to forgive Dixie - as she hasn't been herself lately. Krystal calls him on his recent actions and asks why he has been acting as if Dixie is guilty. Tad asks if she ever stopped to think that perhaps she and Zach actually did it, and Krystal denies it, saying that it wouldn't matter since they agreed that whoever did deserved a medal. Tad tells her that there is more to the story than just Madden. They sit at a nearby table, and Krystal demands answers. Tad mentions the murder and his belief that Dixie slept with Zach again, and Krystal deduces that the sex part is what is really bothering him. Tad admits that he is frustrated because the Dixie he knew is gone, along with his daughter and the family he'd always wanted. Krystal tells him that he needs to get over that because if he keeps coming at Dixie with his nasty attitude, she will eventually beat him back with a stick that has their romp in the sack written all over it. She thinks that if Tad doesn't change his ways, Dixie could reveal all as a parting shot to both him and Adam before she gets carted off to jail. Tad tells her that even though Dixie has changed, revenge is not her style. Krystal thinks that Tad is still holding something back, and once again asks why he's been acting so oddly. Tad denies that he is acting - rather simply standing back and letting things take their course until everyone gets what they deserve in the end - and then some. Krystal asks what Dixie deserves. Tad says he will take care of Dixie, and Krystal says that's the kind of thing that worries her. Tad takes off in a hurry, with Krystal yelling after him not to do anything crazy.
Back at home, Kendall paces nervously until she spots Zach coming up the walk. He walks in the door and waits to find out what her reaction will be. She immediately runs to him, tells him that she loves him, and he returns the sentiment. She tells him that everything that happened with Dixie is over, and that she is in 100% if there is a way for him to get off the hook with the charges and stay with her. He tells her there is a way but it won't be easy. She tells him that she doesn't care - she is willing to do whatever it takes to keep her family together.
Jackson prepares his debate at home, but Erica can tell how hurt he is by trying to declare Lily incompetent. Ryan comes over, walks past Erica and demands answers from Jackson. Ryan tells Jackson that the love Lily and Jonathan share is incredible, but Jackson claims Jonathan is making up his mental condition. When Erica asks Ryan if he is sure Jonathan is not faking it, Ryan seems positive. Jackson tells Ryan to speak with Erin because she knows the truth about Jonathan. Ryan storms out, as Erica warns Jackson he is chasing Lily away. After everyone is gone, a stranger walks into their home, with a luggage bag in one hand.
Erin goes to check on Lily and Jonathan as they prepare face Jackson in court. Erin tells Lily that Livia will make the judge see her side. Amanda shows up, with a good luck charm for Lily. Amanda and Lily head to the courtroom, giving Jonathan a chance to vent his anger toward Lily at Erin. Ryan comes over and asks Jonathan and Erin about the conversation Jackson overheard. When Erin fumbles for an answer, Ryan realizes she is lying and Jonathan's condition has healed. Jonathan tells him the truth, which stuns Ryan but does not anger him. Jonathan says he is keeping the truth from Lily so she can continue to be happy, not take advantage of her as Jackson thinks. Ryan agrees to keep the secret and help Lily win her case.
As the hearing starts, Jackson's lawyer begins making her point about Lily's incompetence. The first witness to take the stand is Julia, who makes a point that Lily's life skills have improved since meeting Jonathan when questioned by Livia. Jackson's lawyer is hard on Erin, questioning her about Jonathan's condition. Erin claims Jonathan can speak clearer at times, but he is not back to normal. Livia questions Amanda, who explains the amazing tasks Lily performs as a ConFusion employee. Jackson's lawyer questions Lily, who proves she has some problems but also has strategies to handle it. When asked to take the stand again, the lawyer brings up what happened to Lily when she ran away from home and met Terry. As the lawyer presses further, Lily gets upset and pleads with the judge not to take Jonathan away from her. Lily drops the coin, it rolls on the floor and when it stops, Jonathan gets Livia's attention so she can call a recess. Jonathan tells Jackson that he has won.
JR accompanies Babe to work, but is not pleased to see Josh busy at work. JR tries to ignore Josh, but Josh is good at pushing JR's buttons Babe tells them to call it truce, so Josh and JR shake hands. After JR leaves, Babe thanks Josh for trying to make nice with her husband. They look over models and listen to some samples of artists to use as a theme for the teen line. Josh makes a few calls and impressively books the band Babe wants.
Tad practically assaults David at the yacht club, searching him for drugs. Tad backs off, claiming David is no longer a suspect and Dixie is shacking up with Zach. David says he has no desire to find another woman to fight over, as Tad slurps down cups of alcohol. Tad tells David to accept that Dixie is lost to them and either one will be the winner of her affections. JR walks over and gets the waiter to take the alcohol away. Tad makes it clear he thinks Dixie is having an affair, but JR urges him to win her back. Derek comes by pressuring Tad for information to incriminate Dixie and Zach, but Tad keeps silent.
Babe and Erica walk into Fusion, where they see Babe hugging Josh.
David goes to Dixie's room, banging on the door.
After tending to Spike, Kendall asks Zach what his plan is to keep him out of prison. He tells her that they need to prove Tad was right - he had an affair with Dixie. Zach says he needs a witness to claim he found Dixie and Zach in a hotel room the night of Greg's murder. Kendall doesn't think it will work, considering he held her hostage while she was in a coma. Zach says he could use grief as an excuse for turning to Dixie. Kendall tells him that although the world may not be surprised at the thought of an affair, she would have to pretend to kick him out of her life. Kendall agrees to the plan and they make love.