Will and Gwen had a romantic night together in the cabin, but Gwen was awakened by a dream in which Billy was crying, and she couldn't go back to sleep. Jennifer went by Carly's house and asked to hold Billy for a while, since she was leaving for Europe the next day. Jennifer left just as Jack arrived home, and she went home to Barbara, where she admitted that when she held Billy, she thought that he was her lost baby. Jennifer was so upset that she called the airline and made plans to leave that very night.

At the hospital, as Susan was telling Meg that her key to the records room had disappeared, Paul had just deleted Rory Cabot's record from the computer. Emily started to shred the paper copy of the report, which showed the baby's blood type, when Hal and Dusty burst in the door. Dusty looked at the partially shredded page and announced that there was enough evidence to prove that Jennifer was the baby's mother. Hal told Paul and Emily, "This sheet of paper is enough to send you both to prison."

Hal discovered Susan's ID in Emily's hand and demanded that Emily tell him what Paul had "coerced" her into doing. Emily responded that she loved Paul and would not betray him. Susan watched as officers arrested Paul and Emily and led them out of the hospital. Dusty and Hal went to a lab technician and had a DNA test done to compare a strand of Jennifer's hair to the partially shredded report on the baby. The technician confirmed that Rory Cabot was actually Jennifer Munson's baby. Hal rushed to the courthouse to find a judge who would return the baby to Jennifer.

When Dusty told Meg the news, she began to worry that Paul would implicate her. Her worry increased when Dusty told her that he wanted to be with Hal when he gave the baby to Jennifer.

Emily and Paul waited together in a room at the police station when Susan arrived and asked them, "What kind of monsters are you?" She continued, telling Emily that she had regressed into an unstable, dishonest child again.

Hal and Dusty arrived at Jack and Carly's house with the court order to take the baby.

As Paul and Emily waited to be formally charged for their crimes, Paul received a call from Jennifer that she was leaving earlier than expected. Realizing she still hadn't been told, he urged her to leave for the airport right away, to avoid Dusty's big bombshell that her baby was alive. Jennifer prepared to leave and shared warm moments with Barbara.

Meanwhile, Emily and Paul began to wonder how the truth had finally fallen into Dusty's lap. It was then that Meg entered the police station, and a suspicious Emily and Paul tried to trap Meg into confessing. However, Meg insisted she wouldn't have told Dusty, especially since doing so would result in her losing him. Paul believed Meg, but Emily still had her doubts. Later, Emily was given the chance to turn on Paul when Hal presented her with the option of going to jail or turning state's evidence on her husband-to-be.

Meanwhile, Gwen and Will were enjoying a time out of time up at the cabin, completely unaware that back at Milltown, Carly was being forced to turn Billy over to Hal and Dusty. Carly did her best to put them off, insisting they wait until Gwen got back before doing anything. But Dusty and Hal presented Carly with a court order demanding she give the baby up or be arrested for not doing so. Finally, Carly did as she was told then broke down in Jack's arms, feeling as though she had failed both her sisters.

Lily realized Holden was not giving up about putting off their divorce. When Keith stumbled upon them in a private conversation, he was not happy about it. Privately, Keith reminded Lily of her promise to him. However, Lily pointed out that she had promised to marry him but not to love him. She went back to the barn under the guise of saying goodnight to the children and met face-to-face with Holden. Unable to deny the chemistry between them, they drew together for another kiss, which quickly became passionate, and they began to make love.

Dusty found Jennifer at the Lakeview and presented the baby to her. At first, she couldn't accept what he was telling her, and Dusty had to show her the court order and the evidence as proof. Finally, she began to understand and was overjoyed at the gift Dusty had given her. She began asking questions about how it had happened, but Dusty skirted the issue of Paul's involvement. They fussed over the baby, and before he took off, it was clear how much Dusty was affected.

Meanwhile, at the hospital, Meg was with Susan, who was horrified by Emily's part in the baby switch. A concerned Meg set off to meet up with Dusty. Meanwhile, Emily refused to turn state's evidence against Paul. Hal was insistent, and Emily called him on it, realizing that it was more about Hal's love for her than it was about the case. Hal pointed out that by sticking with Paul, she was going to lose her son and her freedom. Meanwhile, Paul was faced with Barbara, who had been ushered to the station at Hal's request. Barbara struggled to understand what Paul had done and began to attack Emily for taking down her son.

After making love in the barn, Holden asked Lily if she was going to leave Keith and return to him. Remembering her promise, Lily tried to say no but had a hard time resisting Holden. Keith then called, and Lily lied that she was with the kids. However, when she prepared to go, she left Holden with a bit of hope for their future. Later, Keith ran into Luke at Java and realized something was amiss. When Lily met with Keith, she covered successfully and convinced him that they just had to wait Holden out about the divorce. Later, however, Holden assured Luke that sooner or later, Lily would return home to them.

Jennifer emotionally thanked Dusty for giving her back her son but admitted she'd been troubled by the details and felt that a lot didn't add up. Dusty explained to Jennifer that it was Paul who had switched the records. A heartbroken Jennifer gave the baby to Barbara and went to confront Paul in his cell. After, Meg covered her guilt when Dusty said how proud he was of her for helping reveal the truth.

Meanwhile, Gwen and Will returned from their romantic night away. When they got to Milltown, Jack and Carly were forced to break the horrible news to them that the baby wasn't there. Jack explained about Craig switching the babies, and Gwen went ballistic, furious that Carly had given her baby away. Gwen then demanded to know where her son was, and Carly had to break the news that Gwen's baby was the one who had died. Gwen flipped out, and there was nothing a heartbroken Will could say or do to comfort her. She took off for Barbara's Lakeview suite, and Barbara answered the door with the baby in her arms.

Meanwhile, a furious Tom told Emily he was going after full custody of Daniel, but Paul promised Emily he wouldn't let that happen.

A worried Mike was desperate to get out of the hospital and find Katie when she suddenly entered his room. However, BJ was with her, and Katie was forced to keep up the ruse that they were not together. Mike was about to blow Katie's cover when the nurse entered and interrupted, chasing Katie and BJ out. Later, Katie sneaked back into Mike's room, and they reunited. Mike insisted that Katie had to stop playing the dangerous game with BJ.

Meanwhile, BJ met with Olga and ordered her to finish what she'd started with Mike. Later, Olga entered Mike's room and pulled a hypodermic needle out of her pocket.

At the hospital, Katie told Mike she was going to meet BJ at Java. Mike insisted that she had to break things off with him. Katie said she would, and she left. Olga entered the room after Mike fell asleep and was about to inject him with something when she heard Maddie outside the room. Olga hid, and while Maddie woke Mike up and talked to him, Olga slipped out of the room and went back to Fairwinds.

Maddie found out from Mike that BJ and Katie were back. Mike said Katie couldn't help her try to find Henry anymore because it was too dangerous. Maddie cried, and Mike said he would try to find Henry after he got out of the hospital if Maddie would promise not to push Katie into trying to get to BJ anymore and promise not to go after BJ herself. Maddie promised.

BJ took Katie back to her cottage, saying he felt like being alone with her. He found pictures of Katie and Mike and got Katie to agree to burn them in the fireplace. BJ told Katie that since they'd taken care of Mike, they just needed to take care of Henry. He said he had called Henry in California and told him he needed to return to Oakdale so Katie could see him and that Henry had said he would get there as soon as he could.

At Fairwinds, Henry sweet-talked Olga into believing that BJ was treating her poorly and Henry would know how to treat her right. She grabbed Henry and kissed him, and when she got him down on the floor, Henry told her she deserved a comfortable bed, and he suggested they go upstairs. Olga unlocked the wine cellar, and Henry turned and threw her back into the cellar then he escaped.

At the Hugheses' house, Casey showed Tom his acceptance letter to the University of Wisconsin. Tom was happy for him. Casey appeared to be most interested in what fraternity he could join there. When Margo got home, she congratulated Casey on being accepted at his first choice of colleges. Tom tried to tell Margo that while she'd been out of town, something had happened concerning Gwen's baby, but Margo didn't want to talk about it.

Gwen went to visit the baby at Barbara's apartment. Barbara wasn't going to let her in, but Will intervened. While the baby slept in her arms, Gwen told him she knew he would have a good mom but that his new mom could never love him more than she did. As Barbara took Johnny away, Gwen told Will, "He'll forget me, but I will never forget him." She asked Will what the baby's real name was, and Will said, "John Dustin Kasnoff," but he thought it would probably end up being Munson instead of Kasnoff. That made Gwen realize that her baby had been buried under that name at the cemetery.

Gwen told Will that she needed to be alone, and she left without him. Barbara stopped Will from following Gwen, telling him he needed to leave her alone and that she had to tell him something about Paul.

When Gwen left, she went to the Hugheses' house. Tom and Margo were talking to Casey about college, and when Gwen walked in, she told them she thought they should know that Billy wasn't her baby and that Craig had switched her baby with Jennifer's baby at birth. That was why the DNA test hadn't proved Casey was the baby's father. She then told them that her baby by Casey was the one who had died.

Meg questioned Dusty yet again about whether he might want to get back together with Jennifer since things had changed. He insisted he wouldn't and told her if she didn't stop asking things like that, he'd have to take back the gift he'd bought for her, which was a beautiful necklace. Meg told Dusty she wouldn't always be insecure like that then she got a call from the hospital and had to leave for a while. After she left, Dusty called Jennifer and left a message saying he would stop by the Lakeview to see how she was doing after her visit with Paul.

Jennifer went to the jail to see Paul and to ask him if it was true that he had kept her from her baby. Paul told her everything that had happened, from Rosanna finding out and trying to tell him, to Craig running her off the road, to Paul eventually figuring out that the babies had been switched and going to see Craig in jail to try to confirm it. Jennifer didn't want to hear his excuses that he had been trying to protect her from Craig, saying it was really all about Paul and Craig and about Paul and Rosanna.

Jennifer asked Paul how long he had known then she realized that he'd known as far back as when he'd found out that Rosanna had gone into a deeper coma, which meant he'd known her baby was alive since August. Jennifer also realized that Emily had known for some time about the switch. Paul asked what he could do to make things right, but Jennifer told him she was done with him and that he was no longer her brother then she left.

A bailiff arrived to take Paul to his arraignment, and as he left the cell, Will stormed up, grabbed Paul, and said, "You did this! You!"

Jennifer arrived back at the Lakeview, crying and fumbling for her keys. When Dusty walked up behind her, she fell into his arms, sobbing.