The party is still going on at the Forrester Mansion at the poolside. Morgan, dressed as a clown is entertaining the kids. Everyone seems to think that she is doing a really good job. Meanwhile, Tim is in the van and is worried that Morgan has not returned to him. Bridge can barely concentrate on the festivities because she is expecting a call from her mystery man. Ridge and Thorne pretend that they need to use her cell phone, but she makes excuses about the battery being weak. She then tells them that she is expecting a very important phone call. Rick comes up to her and tells her that she has it bad. He tells her that he can't wait to meet her new guy. Tim has decided to come after Morgan so he also dresses as a clown. He tells Morgan that they need to leave. She tells him that she was not leaving just yet. He knows that she wants to hurt Stephanie. They entertain the kids together. Steffy is riding on Tim's back and says, "Giddy-up Tim." He tells Morgan that he was recognized by Steffy. She tells him to go to the van and that she would be out soon. Brooke, Stephanie, Eric, and Taylor are discussing how well Steffy has bounced back from her harrowing experience. Brooke tells Taylor that it was probably easier for Steffy to handle since she was with her. Morgan is eavesdropping. Taylor can't decide if Morgan is mentally ill or truly evil. Stephanie thinks that she is evil. Ridge admits that she was once a sweet girl with a heart, but he doesn't know what has happened to her. Morgan says to herself that Stephanie did this to her when she forced her to have an abortion.
At the Lair, Deacon is telling Alex about his plans to make the Forrester's pay for everything that they have done to him. He says that they took his woman, child, and money. He said that they had treated him like dirt. He said that they would know what it would be like to suffer. He calls Bridget and tells her to meet him right now at the Lair. She explains that they are having a party for the children, but he wants her to come now and she agrees. Alex tells him that she can't believe that he is interested in that kid. He explains that he wasn't interested until he learned who she was. He tells Alex that she is Bridget Forrester. He says that he would love to see the look on their faces when he walks in with Bridget on his arm. Alex wants to know what his plans are for Bridget as she walks in. He tells her to set up his special table and he would fill her in on everything later.
The party is over and everyone has left. Taylor had offered to stay and help Stephanie clean up, but she tells her to go on home. Stephanie is on the phone with Taylor. When she turns around, she sees the clown. She asks her if she had been paid and then tells her that she would take care of it. Morgan, sans makeup turns around and faces Stephanie.
Stephanie asks Morgan what she wants. Morgan tells her that she's got exactly what she wants – Stephanie, alone. Stephanie sees a small bat in Morgan's hand and asks if she intends to use that on her. Morgan asks Stephanie if she feels any remorse for forcing her to have an abortion, and can hardly believe it when she sees that she does. Stephanie admits that it's not a time in her life she's proud of. Morgan suggests they help each other get over their torment. Morgan is thrilled that they're communicating so openly. When Morgan catches Stephanie trying to phone Lt. Baker, she angrily snatches the phone from her hand. Eric tells Rick abut the night he, Brooke, Stephanie and Thorne paid Deacon a visit and warned him not to bother Rick and Amber. When Amber hears Eric say that Deacon just cared about the money and not his son, Amber stands up for him and insists that all he cares about is Little Eric. She asks them to stop trying to protect her from Deacon. Fuming, she adds that she hopes they didn't make Deacon angry because he could retaliate. Meanwhile, Bridget is stunned when Deacon admits that ever since the other night he saw her at the Lair, he hasn't been able to get her out of his mind. She happily admits that she feels the same way. Feigning sincerity, Deacon tells Bridget that he thinks he's falling for her. He admits that she might walk away if she knew certain things about him. Deacon is kissing Bridget when he spots Amber coming in. Amber wants to talk to him, but realizes he has someone at his table.
Morgan is livid over Stephanie's betrayal, and wonders if Stephanie sees what she's driven her to do now. Morgan insists that she can't let her call the police. She throws the phone aside, and Stephanie sees Morgan heading back to pick up the club. They struggle and Morgan falls into the pool, hitting her head. As Morgan lies face down in the pool, Stephanie goes to pull her out, but stops, realizing it could all be over now. Deacon doesn't want to reveal to Amber who he's having dinner with. Amber assumes he's doing okay, but he denies it and tells Amber that he never should have let her go. Deacon confesses that he lives for Amber and his son and the day they'll all be together again. Amber denies Deacon's assertion that she's only marrying Rick to give Little Eric a good life. He knows that Amber really came by to see him, not to apologize for the Forresters. Deacon kisses her. While Deacon talks to Amber, Bridget calls her friend Betsy to talk about her dinner date with her mystery man. Bridget is sure he won't be a mystery after tonight and he'll tell her everything. Deacon tells himself that Bridget is his ticket to getting Amber and his son back, and he's going to have to use her. Taylor and Ridge are shocked when Steffy mentions that the boy clown was named Tim - and he was Morgan's friend. They realize in horror that the clowns were Morgan and Tim. Tim waits nervously for Morgan to finish the deed so they can take off.
At the Forrester's swimming pool after the party, Morgan lay face down in the water. Stephanie stood by and told Morgan she was sorry for what she had done. However, Stephanie did not try to rescue her. Ridge and Taylor arrived at Stephanie's side. They had figured out that one of the clowns at the party was Tim and the other was Morgan. Stephanie admitted to them that she and Morgan had fought and that she had fallen into the pool during their fight. She also admitted that she didn't attempt to help or rescue Morgan for everyone's safety. Ridge lied to Lt. Baker about what had happened to Morgan. He told the police officer that Stephanie had gone down to the pool after the party to check on things and discovered Morgan's body lying in the pool. Taylor covered for Stephanie not calling 911. When Lt. Baker went down to the pool, Morgan had vanished. Taylor and Ridge saw Tim pulling Morgan to their van. When Lt. Baker cornered him, Morgan was not in the van.
When Amber arrived home from Deacon's, Rick questioned her about where she had been. Rick wasn't thrilled that Amber had been at Deacon's. She warned Rick that as a consequence of the Forrester's not paying Deacon the one million dollars and humiliating him, he has decided he wants Eric back. She advised that Deacon feels the Forrester family will try to keep him away from his son. Deacon warned Amber that he has a plan to get his son back.
Meanwhile at the Lair, Deacon revealed his identity to a shocked Bridget. Deacon was able to continue conning Bridget by turning on the charm by dancing with her.
Morgan who had alluded capture by the police, without warning, showed up at the Forrester home. There, she found a terrified and shocked Stephanie. And Stephanie was all alone!
After they realized that Morgan was not in the van and Stephanie was not answering the telephone, the police and Taylor and Ridge took off for the Forrester estate. Morgan continued to taunt Stephanie in the bathroom by ranting on and waving a pipe wrench around. When Morgan heard the sirens she attacked Stephanie and shoved her face first into the filled bathtub. Eric stormed into the bathroom and pulled Morgan off of Stephanie. Morgan tried to escape but Eric pulled her back into the room and restrained her. The police came into the bathroom and cuffed Morgan as Eric, Taylor, and Ridge comforted Stephanie. Morgan told Ridge that all she ever wanted was for him to love her. As the police escorted Morgan away, Eric reassured everyone that they would never have to see Morgan again.
In Eric's office at Forrester creations, Rick was trying to clear his workload for his upcoming honeymoon when Brooke walked in. Rick reminded Brooke that her family had always been by her side to support her in all her decisions, no matter how wrong they had been. Rick suggested that Brooke do the same for him and support him in his upcoming marriage to Amber and pleaded with her to help him protect his family. With tears streaming down her face, Brooke pledged her support to Rick, Amber, and Little Eric.
At the Lair, Deacon and Bridget shared their "last dance." Deacon wrestled with feelings of guilt over his plans for Bridget and his determination to pay back the Forresters. Deacon continually made Bridget defend her feelings for him by insisting that they have no future together because of the way her family feels about him. Bridget admitted to Deacon that she was in love with him and didn't realize that he really wanted a relationship with Little Eric. Brooke then called Bridget and asked that she come home so they could work on wedding plans for Rick and Amber. After sharing a goodbye kiss with Bridget, Deacon decided that getting Brooke on his side might be a better choice.
Brooke was surprised when Deacon walked into the offices at Forrester Creations and accused him of trying to sabotage the wedding. Deacon warned Brooke that she should stop the wedding herself to prevent her child from being the one who pays the price. Rick arrived and insisted that Deacon leave. As he was leaving, Deacon reminded Brooke that she should consider his warning. Amber ran into Deacon in the hallway with Little Eric and accused him of teaming up with Brooke to ruin her wedding. Deacon vowed that he would not lose Amber and Little Eric. Deacon then phoned Bridget and told her that he could not stop thinking about her. Amber questioned Brooke about being Deacon's date at the Lair. Brooke reassured Amber that she would be supportive and that Deacon would not crash her wedding. As Deacon listened to their conversation, he reminded himself that he would not have to crash the wedding because he would be there as Bridget's date and was very pleased with the knowledge that the Forresters would be put in a position where they would choose to save Amber or Bridget from him. Deacon assured himself that they would choose Bridget and Amber would come back to him.