At Lily's homecoming party for Dusty Donovan at Java Underground, Dusty has promised Rose that he will tell Paul that he had behaved inappropriately toward her, but Dusty allows himself to be distracted again and again. First, Bonnie interrupts to take a picture of Paul and Dusty. Dusty gets as far as reminding Paul that he was a flirt in high school when Molly comes up, whispering suggestively in Dusty's ear. Then Barbara walks in. First Barbara tells John, Kim, and Lisa that she has taken a suite at the Lakeview for Will's weekend visits. Rose confronts Barbara and pointedly offers to get her a taxi. Barbara pretends to start to leave, but spies Dusty and offers him some champagne - then asks Rose and Paul to join them. When Dusty notices the strain between Rose and Barbara, he himself asks Barbara to leave, and she does. Nancy advises Chris Hughes to apologize to John Dixon. Chris turn to find John, and bumps right into him, spilling champagne all over John. Chris does apologize, and John responds that Chris has a real gift with children and will make a fine pediatrician. Chris turns to find Kim, Nancy, and Lisa watching and smiling. People begin to leave the party, and Lucinda offers Dusty a job as she walks up the stairs. When Paul leaves to get Rose's coat, Dusty sidles up to Rose and mentions that she still hasn't told Paul. Rose retorts, "You're so slick!"
At Fairwinds, Rosanna walks in to find Lucy crying. Even Rosanna's request that Lucy be her maid of honor does not cheer Lucy up. Lucy admits that she feels trapped, not by her wheelchair, but by her fear of running into Aaron. Emily comes to visit Alison in the police station. Persuaded by Emily to take responsibility for her own mistakes, Alison tells Emily that she undressed and unconscious Aaron and herself, then lay beside him for Lucy to discover them. Emily offers to bring Lucy to the police station so that Alison can tell her the truth. Alison agrees, but after Emily leaves, Alison moans, "She's gonna hate me." Emily goes to Fairwinds, and she and Rosanna bring Lucy to the police station. Lucy goes in alone to visit with Alison. Alison discloses the truth about drawing a heart on Aaron's chest and pretending that she was his girlfriend while Aaron was unconscious. She maintains that she and Aaron did not have sex, and she admits to Lucy that she is still a virgin. After Lucy angrily leaves the room, Emily embraces Alison and proudly tells her that she has made a new beginning by telling the truth. The guard comes and takes Alison on the long cold walk to her cell. The door clangs shut, the key turns, leaving Alison alone and miserable with only her teddy bear for comfort. Lucy asks Rosanna to take her to Aaron's house so that she can apologize for believing Alison, but Rosanna refuses. Rosanna tells Lucy that she has agreed to respect Craig's wishes about Aaron and to put Craig first.
At Monte Carlo headquarters, Carly tells Craig that Jack mentioned getting a divorce, and that the two had shared a kiss. Meanwhile, a messenger brings divorce papers to Jack at the police station. Just as Craig diverts Carly's attention to designing clothes, Jack arrives with the papers in his hand. Carly sends Craig away, hoping that Jack is there for a reconciliation, but Jack presents her with the papers. Jack tries to force the papers into Carly's hands, but she angrily throws them across the room, refusing to give up on them. Jack responds that their marriage was a pathetic mistake, and leaves to go back to the police station. Carly cries to Craig, "He really doesn't want me anymore." Carly asks Craig to be her friend, and Craig puts his arm around her shoulders and assures her, "I'm here - as long as you need me."
Jessica and Ben return to her house in the middle of the night and find Marshall waiting up for Jessica. He informs them that Lien called with news that his daughter's remains are being shipped back to Oakdale. He is clearly upset. Jessica wants to console him, but Ben thinks she should leave him be. She reluctantly agrees. She and Ben have a tender goodbye. Later, Jessica comes downstairs for some water, falls asleep on the couch, and when she wakes up, Marshall is there, suddenly starting to have sex with her. When Craig comes home in the middle of the night, Rosanna is peeved to learn he was with Carly. Rosanna kicks Craig out and he goes to his old Lakeview suite. To his horror, Barbara is staying there. Despite her objections, he falls asleep on the couch. After her fight with Craig, Rosanna agrees to help Lucy and Aaron remain together. Alison gets scared when she fantasizes that she'll become a hardened criminal like a woman named Darlene with whom she briefly shares a cell. Hal, knowing Emily is worried, goes to check on Alison and brings cocoa, earplugs, reassurance, and useful jailhouse tips regarding food. Hal tells Alison he loves her and Alison is astonished and grateful. Meanwhile, when Aaron learns that Alison told Lucy the truth, he goes to Lucy and they reconcile. Molly and Dusty continue their flirtation and are about to head to bed together for uncomplicated sex when Rose interrupts them. Rose informs Dusty that she isn't going to tell Paul about their kiss. Rose leaves and Dusty asks Molly for a rain check.
As Marshall is happily setting the breakfast table, Jessica comes downstairs looking very upset. Marshall says last night was "hot and passionate" but Jessica disagrees. She doesn't get a chance to talk to Marshall because she has to meet with Margo regarding Marshall's case. When she sees Margo, she asks for a continuance. Margo sees that Jessica is upset and asks her what is wrong. Marshall calls and Jessica tells Margo she has to leave. Jessica goes to see Marshall and they discuss the night before. Jessica says that last night was a sexual assault. Marshall says he didn't force himself on her and that she's said no before but it didn't really mean no then. He said this has happened before, "It is a dance we do and it's a good dance." He says that she resists, he coaxes and he didn't feel that she tried to stop him. Jessica says he can't compare what happened last night to what happened before. Marshall is shocked and says he isn't capable of such an act. She says "Oh yes you are." She explains that she was scared so she relented because he took what he wanted. He replies by saying he's been aggressive before and she didn't mind. She says she was asleep and "completely vulnerable" and it was criminal. She decides she can't be his lawyer anymore and that she will call Margo and tell her what happened.
Molly goes to see Jack and he tells her that he filed for divorce. She tells him that he'll regret it and wishes he would change his mind. Jack says there is still hope for Molly and Mike.
Barbara calls the police and reports a break-in. Hal arrives and is surprised to see it is Craig. Barbara wants Craig to be arrested for trespassing but Hal just leaves. As Craig is leaving, he asks Barbara how Will is doing. Barbara is touched by this and tells him that they have something in common because both have had children taken away from them. Barbara wants to tell Craig that she is very sorry about Bryant's death and Lucy's accident and that no matter how she feels about him, she always wanted the best for his children. Craig points out that they are actually acting like "civilized human beings." He gives his advice to Barbara and tells her to "drop the vampire act" and move on.
Carly tells Mike that Jack filed for diverse. Mike sees the divorce as an opportunity to become a big part of the baby's life. Carly says she doesn't need Mike to keep rescuing her." Mike says he also has a selfish interest – the baby. He wants them to both make a commitment to be two full time parents. He wants to make sure that Carly isn't going to leave him and run off with somebody else. He says he is committed and doesn't want to be left out. Molly shows up at Mike's place and Carly leaves so Molly and Mike can be alone. Mike says he is "pretty much all talked out." Molly says she came to give him a chance to patch things up. He wonders where this is coming from since he tried for weeks to convince her to forgive him. Molly says that she talked to Jack and she's ready now. She asks Mike, "Would you let me move back in here if I said I forgive you?"
Carly shows up at Craig's house and asks for a big advance from Montecarlo because she needs to buy a house.
Rosanna takes Lucy to the diner to meet Aaron. Lily and Rosanna sit together and have coffee while Lucy and Aaron talk. Aaron apologizes to Lucy for kissing her yesterday. He explains that he was so happy that she finally believed that he didn't sleep with Alison and he didn't think and it wasn't fair. Lucy tells him that it is ok. She tells him that she remembered something. She holds up the cross necklace that he had given to her. She tells him that she remembered that he bought it for her. He is so happy that she had the necklace. He tells her about her telling him that she liked the necklace and with his first paycheck from the country club, he had purchased the necklace for her. She asks him to put the necklace around her neck. He puts the necklace around her neck. She says that she wishes she could remember him giving it to her. He says that it will come. She says that the last time he put the necklace on he didn't need to bend down. He tells her to stop it. She says that she is in a wheelchair and it must be rough for him. He asks how is it rough for him. She says that going out for ice cream sodas and holding hands can't be enough for him. She reminds him that they had slept together. He says, "And that means what? We can't hold hands anymore?" He takes her hand and kisses it. She tells him that she is working hard on her physical therapy, but it feels like nothing is going to work right again. He tells her that no matter what happens, he is always going to love her. She says that she wishes she knew why. He tells her that they don't have enough time for him to explain and she is looking so beautiful sitting there. Lucy gets a smile on her face and asks him when it will be that he will kiss her again. He says that he will kiss her again when she is ready. She asks why is he sitting way over there. Aaron gets a big smile on his face and leans across the table and kisses her.
Carly goes to Craig to ask for an advance so she can buy a place to live. She tells him that she needs a place to create new designs and Mike and Molly are trying to get back together and she doesn't need to be there breathing down their necks. Craig laughs at her and says that he knows her far to well. He says that she is not concerned about Mike and Molly and she should come up with a new excuse. Carly rolls her eyes. She says that she needs her own space. Craig asks if Mike prancing around in nothing but a towel is making her heart go pitter-pat. Carly tells Craig that that is only his twisted sexual fantasy. She adds that Mike could prance around in nothing but a hard hat and she wouldn't care. She tells Craig that she just needs a place for her and Parker and the baby and maybe...Craig finishes her sentence and says that maybe she could get Jack back. She tells him not to mock her. She says that she needs Jack. She asks, "Will you help me, please." Craig reminds her that Rosanna is fully involved with the business and she will notice huge sums of money missing from the business. Carly says that he can handle Rosanna. Craig says that Rosanna will come after him with her five-inch heel and bludgeon him to death. Carly turns to him and says, "Well, well. You are afraid of a teensy-weensy blond." Craig says, "Damn right!" Craig tells Carly that he values their friendship but he is not going to risk antagonizing Rosanna. Carly reminds him that when he needed it, she signed over a million dollars to him. Craig looks at her and then says, "I will talk to Rosanna." He informs Carly that Rosanna may not forgive him. Carly says that he is crazy. She adds that just like her, Rosanna can't resist him. She gives him a kiss on the cheek and makes him promise to call her after he talks to Rosanna. They walk out together.
Back at the diner, Lucy and Aaron are finished visiting and Lily tells Aaron that it is time to go. Lucy asks if she can go with Lily and Aaron back to Lily's house. Rosanna hesitates. Lily says that Rosanna is being put in a hard place because she is going against Craig's wishes. Lucy asks if her father has called yet. Rosanna says that he hasn't and Lucy says that he isn't worrying yet. Lucy adds that Lily's house has a lot of memories for she and Aaron and going there might trigger her to remember something else. Finally, Rosanna gives in and tells Lucy to hurry back. Lily promises to get her back quickly. Rosanna finds a booth and orders another cup of coffee. She keeps looking at her watch and finally says, "Come on Lucy. I don't want Craig to kill me." Craig shows up and sees Rosanna sitting at the booth. He joins her and tells her that he has been looking all over town for her. She says that she is sorry and she wasn't in the note-writing mood when she left their empty bed. Craig says that they have some making up to do and she says that he has some groveling to do. He tells her that is enough abuse. He tells her that they can get his daughter and go out for some lunch. He asks if Lucy is with her. She says that she is. He looks around and asks where is she. Is she in the lady's room? Rosanna says that being patronized is on the top of her pet peeve list. Craig looks at her and tells her to tell him where is his daughter.
Molly asks Mike to come back to her. He reminds her that there is the Carly factor. Molly tells him that he cares more about Carly than he does her. He says that he does care about her. Molly tells him that he is being duped. She says that she feels that Carly is playing the Nora card whenever she can. He tells her that all Carly wants is Jack and a place to sleep. Molly asks if he cares what she wants. He begs her to tell him what that is and he will do it. Molly says that she wants Mike to tell Carly to get out of his house before it is too late. Mike asks, "Too late for what? Molly, is there somebody else?" Molly tells him that there is no one and she sits alone in her room every night and the jealousy consumes her. She tells Mike to get Carly out of his house. Mike tells her that this baby might be his daughter. Molly says, "It's a girl?" Mike tells her that he is not going to throw his daughter's mother out on the streets. Molly says that he has it all wrong. She says that it is all about Carly because she can't be without a man for five minutes and it's about Jack divorcing her. Mike interrupts her and says that he sees what it is all about now. Mike tells her that everything she has done was to make Carly suffer. Molly looks at Mike for a second with tears in her eyes. She says that she is just a terrible person. Mike tells her that he can leave Carly a note and tell her that the cottage is hers and he will go and live at the Lakeview with Molly. But, in a few days, Carly will call and she will need him to go with her to a doctor's appointment and he wonders how Molly will handle that. Molly looks at him and says that it will never be the same. Tears are streaming down her face and she walks out. When she gets outside the door, she breaks down and cries. She runs away from the cottage.
Jessica calls Margo and asks for her to come and take Marshall out of her house. Margo reminds her that if she comes over she will have to arrest Marshall. Jessica tells her to come and arrest him. She hangs up the phone and tells Marshall that the police will be arriving shortly and she would like him to wait in his room. He tells her that he doesn't understand what is going on. He says that he thought that she enjoyed herself last night. Jessica looks mortified. She tells him that what he did was assault her. He starts to laugh and says that he knows what this is all about. He tells her that she enjoyed herself and she doesn't want to admit it. She yells and says that she wants him out of her house. He looks at her and says, "Then all you had to do is ask." He goes upstairs to pack his clothes. When Margo arrives with a police officer, they handcuff Marshall. Margo asks Jessica if she wants to make a statement before they take Mr. Travers to the station. Jessica says that there isn't any statement. The officer takes Marshall out and Margo turns to Jessica and says that he is gone. Jessica says, "Good." Margo asks if she would like to say anything now. Jessica tells her that she has nothing to say. Margo says that Jessica just had Marshall removed from her home and dropped him as a client and she wants to know what Marshall did to her. Jessica says that Marshall did not do anything. She says that she just changed her mind. Margo says that she doesn't believe her. Jessica tries to explain that she knew Marshall was grief stricken and she thought helping him out would ease her guilt that she was feeling. Margo half accepts her explanation and says that she will inform Marshall that he will need new council. Jessica starts to walk Margo to the door. Margo stops and says that she can stay. Jessica says that won't be necessary. Margo tells her to call if she needs her. As Margo opens the door to leave, Jessica is choking back the tears and Ben is standing at the door. Jessica takes a big gulp and tries to smile. Ben tells Margo that he has Indian food for their lunch and invites Margo to stay. Margo looks back at Jessica and says that she needs to get back to the station. Margo reminds Jessica to call her. Margo leaves and Ben walks in all cheery. He tells Jessica that it was good that Margo had to leave because he only has enough food for three. He looks around and asks if Marshall is lurking somewhere. Jessica tells him that Marshall has been taken back into custody. Ben asks what happened and then he tells Jessica that is her business and it is the best news he has heard in a very long time. He gives Jessica a kiss and then gets the food out for them. They sit down to eat and Ben is talking about their trip to Barbados. Jessica starts to think about Marshall forcing himself on her. She snaps out of the nightmare and jumps up off the couch. Ben asks if she is ok. Jessica says that she is ok and it has been one of those days. She asks Ben if they can get together later. Ben asks if she is feeling guilty about Travers. Jessica asks why should she be feeling guilty. Ben tells her that he is not going to pry, but if she needs to talk, he is always there. Jessica says that Marshall took him staying with her to mean something else and she ended it. Ben asks again if she is ok. She tells him that she is and she just needs some time alone. Ben says that he understands and she walks him to the door. When she closes the door, she locks it and puts the chain on the door.
At the police station, Marshall is taken into the interrogation room and has his handcuffs taken off. He turns to Margo and says that all this is a big mistake and he and Jessica had just had a disagreement. Margo says that is must have been some disagreement since Jessica refuses to be his council. Marshall says that everyone knows that he and Jessica have a volatile relationship. Margo asks how volatile are they talking. Marshall says that he is not going to discuss his personal issues with her or anyone else. Margo says that Jessica is not talking and he is tap dancing and she wants to know what is up and she will find out what it is. He tells her that what she will find is nothing. He tells Margo that he wants to make his phone call. Margo leaves the interrogation room. Later, she comes back and Marshall informs her that his new council is on his or her way. Margo asks if the new council has any idea how they are going to spring him from this joint. He says that they don't, but he does. She informs him that his bail has already been denied. Marshall tells Margo to believe him when he says that in a few hours he will be sitting at the Lakeview Lounge enjoying a scotch, neat. Margo says, "Wow, your confidence is awe inspiring. Let's hope your right." She turns and leaves the interrogation room. After she is gone, he says, "Oh, I know I am."
Carly shows up at the cottage and catches Mike crying. She says that she will just go to her room. Mike composes himself and says that he is fine. Carly says that he could have fooled her. She asks if things didn't go well with Molly. He tells her that Molly came there to see him and told him that she wanted him back. Carly says that is great and she will go and pack her stuff. She looks at Mike and asks if that is good news. Mike says that Molly can't get over the fact that he may be a father soon and that Carly will be a part of his life forever. Carly sits with Mike and says that if her living there is a problem then she is getting some money together and she will be getting her own place. Mike says that he doesn't think that will make any difference. He tells Carly that he has to go to work. He gets up and leaves the room. Carly watches him leave and then she says, "If you can't get Molly back, then I will have to get her back for you." Carly gets up and leaves the cottage.
Molly pulls away from Dusty's kiss, saying she isn't ready. Later, when Molly is freshening up, Carly arrives looking for Mrs. McKinnon. Dusty innocently tells her she has the wrong room and she goes. Carly returns moments later and finds Molly and Dusty together. The confused ID explained, Dusty assures Carly nothing intimate was going on. He leaves and Carly and Molly have it out. Molly isn't interested in hearing Carly's pitch for her to return to Mike. Instead, Molly encourages Carly to tell Mike about finding Molly with Dusty. Carly leaves, saying she will. Alone, Molly is scared to death of what she has just done. Craig spots Lucy and Aaron outside the diner and confronts them. Lucy quickly fakes an argument with Aaron and sends him away. Lucy defends Rosanna when Craig is angry with her for letting Lucy out alone. Later, Rosanna accuses Craig of giving Carly attention he rightly owes Rosanna. Craig reveals Carly's request for a large advance from Monte Carlo. Rosanna insists Carly ask her directly. Bonnie finds Jessica packing Marshall's things. Bonnie sees Jessica's distress and when she inquires, Jessica gives no indication of the forced incident with Marshall. Bonnie stands by Jessica as they go to the police station to deliver Marshall's belongings, where Jessica and Marshall spot one another. He wins a pretrial release. As he leaves, he tells Jessica that he'll be in touch. The DA refuses Tom and Hal's offer of a deal to get Alison out of jail. Hal informs Alison there is no way out of jail, barring medical reasons. Later, Alison fakes an illness.