Outside Paul's funeral, Meg tries to convince Emily that she did not hear Paul's voice, but Emily remains suspicious, even after Meg sneaks Paul back to the cabin. Emily and Henry plan, over a drink at the Lakeview, to follow Meg and find out if she is hiding Paul.
At the end of the funeral, Barbara tries again to talk Will into moving home. When Will tells her that Lisa is letting Gwen stay at the Lakeview and that Lisa has also given Gwen a job at the hotel, Barbara hatches a plan to mess things up for Gwen. Her first move is to call Lisa.
Casey and Maddie talk at the coffee shop, but they can't find the courage to tell each other the way they really feel. Maddie goes to sit with Nate, but she and Casey daydream about each other.
Jack and Nick have a fistfight at Katie and Mike's engagement party. Nick glowers when he sees Carly and Jack kissing.
Up on the rooftop, Gwen tells Will that Barbara can't hurt them, and gives Will a deposit slip from a joint back account she opened when Lisa gave her an advance. Meanwhile, Barbara confronts Lisa about giving Gwen a room and a job. Lisa tries to convince Barbara to trust Will and let him live his own life. Barbara is sympathetic towards Gwen, but still insists that she's only after Will's trust fund. Lisa is interrupted by a phone call Ė a guest is claiming the cleaning staff stole her diamond necklace.
Lisa goes to discuss the situation with the guest while Barbara listens outside the door. The guest suggests Lisa question the girl with blonde hair and black eyeliner who cleaned her room last night. After the guest leaves, Barbara bursts in and accuses Gwen of stealing the necklace. Lisa calls to ask Gwen to meet her in the lobby and tells Barbara she hopes Gwen is innocent. As Barbara goes to leave the room, she drops her purse, when she bends down to pick it up; she sees the necklace under the couch. She puts it in her purse and leaves.
Lisa tells Gwen that she was the only person in the room Ė she must have taken the necklace. She asks Gwen to return it along with her key and uniform. Gwen sees Barbara sitting at the bar and rushes over to accuse her of staging the whole thing.
Emily and Henry try to sneak into Meg's room when the maid tells them Meg's bed hasn't been slept in. They assume she spent the night elsewhere. Meanwhile, as Meg sleeps on the couch in the cabin, Paul has a dream that Emily comes in and shoots her. They both wake up and Paul tells her they have to leave right away, but asks her to retrieve a box from a storage unit for him first. Meg reluctantly agrees.
At the Lakeview, Emily insists Meg is up to something as Meg walks into the hotel. Paul calls her to see if she has the box as Henry approaches. Trying to keep Paul's box from Henry, Meg drops the phone and Henry hears a man's voice. She covers up and Henry mentions that he knows she was out all night. Meg sees Emily at the bar and leaves. They follow her to her room where they overhear her making plans to meet someone at Java. They race after her.
Meg arrives at Java with Emily and Henry right behind. She calls Paul and tells him she's trying to throw them off the trail. As Emily and Henry once again argue about whether or not Paul is alive, Meg gives them the slip. Back at the cabin, Paul opens the box, which is full of cash. He hands Meg a wad of money and tells her he's not leaving, but she is. Meanwhile, at the Lakeview, Henry dons a wig and maid's uniform in order to gain access to Meg's room.
Luke is typing on his laptop when Lily walks in. They argue about Luke's punishment and he storms out of the room. Lily and Holden discuss how to handle Luke, and Lily decides to keep him out of school so they can spend the day together as a family. Faith comes into the living room and opens Luke's laptop to play a game. He walks in and yells at her not to touch his computer. Holden sees this and Faith tells him Luke doesn't want her reading his blog. Luke insists he's worried about her deleting his schoolwork.
Lily takes Luke out to rent a movie and they stop at Java for coffee. Luke runs into Kevin outside who invites him to a rooftop party, Lily overhears him telling Kevin he can't go and she glares at Kevin as they leave. Meanwhile, back at the Snyder house, Holden logs into Luke's computer and starts reading his blog, which mentions a secret Luke has that his parents will hate him for. Luke asks Lily not to tell Holden about running into Kevin. They walk into the house and Luke sees Holden on his laptop.
Holden reads a blog on Luke's laptop, stating Luke thinks his parents will hate him. Holden closes Luke's laptop, as Lily and Luke enter. Luke is upset that Holden invaded his privacy. Lily leaves so they can talk. Holden is concerned about what he read, and Luke is angry that his father read something he considers private. Luke leaves and Lily returns. She suggests she and Holden spend some time alone together. Luke comes back into the room, and Lily leaves. Luke tells Holden, he only meant that his parents don't give him enough space. Holden tells Luke, they are only concerned. All seems well, and Luke leaves.
At The Lakeview, Lisa fires Gwen for stealing. Will thinks it's more than a coincidence that Barbara was there when Lisa got the call about the necklace. Will leaves to get Gwen's things. Barbara tells Gwen that in the end Will won't be happy with her. Gwen tells Barbara that she never made any of her children happy and that if it's the last thing she does, she will make Barbara pay.
In the cabin, Paul gives Meg a lot of money. He asks her to leave. He thinks Emily is following her. Meg asks him to come with her to Waco. There he can receive medical attention. He refuses. She finally leaves.
At the Lakeview, Henry (dress as a lovely maid) and Emily break into Meg's room. Emily is convinced Meg is hiding Paul, but Henry isn't convinced. They look at gas station receipts and realize she's traveling very long distances. Henry suggests she's selling drugs. Emily says the drugs are for Paul. Emily and Henry run to hide as Meg opens the door. Meg gets a call from Paul. Paul thanks Meg for being a friend. Meg hangs up, puts the phone on the bed, and goes into the bathroom. Emily gets the phone and hides again. Megs comes out and starts looking for the phone. Meg leaves to sign for her car. Henry put a phone on the floor by the bed. Meg returns, gets the phone, and leaves. Henry tells Emily he switched phones with Meg. Emily calls a dials a number in the phone. Paul answers.
Will arrives at a party and accepts a beer.
Holden and Lily are at the Lakeview. Lily asks him what he's keeping from her about Luke.
Barbara puts the necklace in an ice bucket on an unattended maid's cart.
Emily panics and hangs up but Paul, fearing the worst for Meg, calls back. Emily convinces Henry to answer the phone and pose as an operator but when Paul doesn't respond, Emily grabs the phone and calls Paul's name. Hearing Emily's voice, Paul quietly hangs up the phone and quickly begins packing to vacate the cabin. However, Emily is now convinced that Paul is alive and begins to ransack Meg's room with Henry's help. They discover Meg's muddy shoes which jars Emily's memory of seeing Paul in the window of the abandoned cabin. But, by the time Emily and Henry arrive at the cabin, Paul is nowhere to be found. Emily does find the charred remains of Paul's driver's license, proving Paul was in the cabin. Meanwhile, Jennifer learns that Paul named her as the executrix of his estate. She wants to relinquish the duties but since Paul specifically excluded Barbara from everything, the responsibility falls solely upon Jennifer. She goes to Paul's penthouse to gather contractual papers from his safe when she comes upon a letter addressed to her. Jennifer begins reading as Paul pours out his deepest regrets and love for his sister. An emotional Jennifer breaks down in tears when Paul suddenly steps out of the shadows, watching her. Holden struggles to tell Lily his concerns about Luke and finally confesses he feels he's failed Luke as a father. They decide to cut the dinner short and go spend some much needed time with Luke. But, unbeknownst to them, Luke is at a party with Kevin instead of home where he is supposed to be. When Lily and Holden call to say they are on their way, Luke leaves Kevin, realizing that deep down he has no desire to lie to his parents, and races home, hoping to beat his parents. But a phone call from Kevin distracts him and Luke accidentally hits someone.
Maddie brought her date, Nate, back to the Hughes's house for some alone time, but Casey was there, having decided to forego the party and watch old movies with Maddie instead. Maddie suggested he watch them upstairs. Casey kept coming back downstairs and interrupting Nate and Maddie, until finally, Nate got a phone call that he said was from his sister. Casey told Maddie he bet it was from another girl from St. Vincent's who Nate was supposed to be seeing, and when Nate got off the phone, Maddie quizzed him about the phone call before admitting what Casey had said to her. Nate said his sister was the "girl from St. Vincent's," and then he kissed Maddie, just as Margo walked in. Maddie and Nate excused themselves to go outside for a few minutes, and when Casey came back downstairs, Margo asked him if he was jealous. He said he wasn't, but then he decide to take the trash out, interrupting Maddie and Nate kissing again (although Maddie was fantasizing that it was Casey who was kissing her). This time, Nate left, and Maddie angrily asked why Casey had to drive Nate away.
At Paul's apartment, Jennifer read the farewell letter he'd written to her and cried, saying now she understood that he really had done everything out of love for her. She sobbed that she wished he were still alive, but as Paul moved from out of the shadows to reveal to Jennifer that he was indeed alive, Dusty came in with Johnny, and Paul went back into hiding. Dusty was upset that Jennifer was so distraught about Paul's death, and he threatened to burn all the papers Paul had left, but Jennifer told him he shouldn't try to control her like Paul had. Jennifer told Dusty they had to go meet Barbara for dinner, and they left, with Jennifer calling out, "Goodbye, Paul." When they were gone, Paul responded, "Not goodbye, Jennifer --- not yet." He then grabbed dark glasses, a ski hat and a cane, called a hotel or motel and asked about room availability. He then left.
Luke hit a young woman with his car, and as he tried to find her pulse, his parents happened upon the scene. They called an ambulance and went to the hospital to see if the woman was going to be okay and to make sure Luke was alright. Holden questioned Luke as to where he'd been, since he was supposed to be home that evening, and when Luke admitted having gone to a party, Holden assumed he'd been drinking again, even when Luke denied it. Margo arrived and told Luke he'd have to take a breathalyzer test, which Luke did willingly, passing it with no trace of alcohol. Holden apologized for jumping to the wrong conclusion, but Luke admitted he had reason to. Holden and Lily again asked Luke to please tell them what was wrong, and just as he seemed about to reveal his secret, the doctor approached and said the woman he'd hit had regained consciousness. When Holden, Lily, and Luke went into the room to see her, she looked at Lily, smiled weakly, and said, "It's you!"
Lisa went to see Barbara in her suite at the Lakeview, bringing flowers as a peace offering. The two women discussed Gwen and Will's relationship, with Lisa telling Barbara that she thought Gwen was a decent girl who hadn't had many breaks in life but who truly loved Will, and Barbara telling Lisa that Gwen would bring Will down and that they needed to be kept away from one another. Lisa told Barbara that the second chance she thought she'd lost with Paul, she still had with Will.
Downstairs at the Lakeview, Gwen tried to talk Will out of his plan to steal $1000 from Barbara's room while she was at dinner. When she couldn't talk him out of it, and after some reminders from Will about what Barbara had done to him and Gwen, Gwen ended up saying that if he was going through with this, she was going to go with him. They waited until it was time for Barbara's dinner reservation, then they went up to her room, and Will took the money from its hiding place. Before they made it out the door, Barbara came out of her room, asking what they thought they were doing. When she realized they had stolen money from her, she said she was calling the police, but as she reached for the phone, Will pushed her away from it and she fell, hitting her head on an end table.