Earl tackles No. 127 on his list by making amends for pilfering a police officer's badge. When he discovers that the theft resulted in the cop's demotion, he tries to get the officer reinstated.

In the season finale, Earl decides to cross off the first number on his karma list, “Stole ten dollars from a guy at the Camden Market.” Earl to his dismay finds out that he owes much more than ten dollars, in fact he must surrender all his lotto winnings. Earl now ponders when karma is going to help him with his misfortunes.