When Greg's competitive nature becomes destructive, Dharma exposes him to yoga, hoping to lower his stress level. After two classes, however, they both realize Greg's life is out of control when he gets into a macho ""I can do this"" contest with Pete and pulls a groin muscle. Meanwhile, Larry goes to Edward with a scheme to mass-market videos of Dharma's yoga instruction.

When Greg needs an upgraded security clearance to work on a top-secret case, Dharma and the families are subjected to a background check, which reveals some very interesting information about Larry and Edward. Dharma discovers to her horror that her proud anti-establishment rebel father in not in fact wanted by the FBI as he's always bragged, and embroils Greg and Pete in a scheme to plant a phony file for Larry to steal. Meanwhile, Greg is shaken to discover that Edward never in fact divorced his first wife; and Kitty's reaction to the news is not what anyone would expect.

Dharma's parents arrive for their weekly yoga class only to find Dharma in tears because all her other students have deserted her for the popular self-defense class across the hall. Greg's efforts to cheer her up only get them evicted from Kitty's operatic fund raising evening. Clearing out her locker, Dharma curiously wanders into the self-defense class that turns out to be run by a wacky woman named Spyder, who is promoting herself with alarmist flyers about a massive increase in crime in the neighborhood. When Dharma protests that this is a lie, Spyder intimidates her physically, then invades a depressed Dharma's nightmare about breaking her non-violent principles and retaliating. When Dharma does attempt to remonstrate with Spyder, both she and Greg get their butts kicked.

Dharma's free spirit and maternal instincts are challenged when Greg's rebellious teenage niece Jennifer visits for the holidays and soon abuses her newfound friendship with her aunt. When Dharma and Jane take her along on a wacky shopping trip pretending to be monolingual German tourists, they are upset to discover that she has used them as a cover for actual shoplifting. Later when Dharma discovers that Jennifer has invited a boyfriend over unannounced, she lowers the disciplinary boom—and Jennifer runs away.

Transportation becomes an issue for the young couple when Greg insists Dharma can use his car any time she wants but makes compulsive demands on her treatment of the vehicle. (Dharma: ""Honey, I love you, but bite me!"") So Dharma goes to a city auction with Jane and Pete and becomes the proud owner of a 1968 yellow schoolbus. Meanwhile, Abby invites the Montgomerys over for a meat dinner, and reveals that she was once romantically involved with Salazar, the featured artist at Kitty's charity exhibition. An amused Edward challenges the Finkelsteins to attend the function, which is threatened by a freak rainstorm and flood—it's 'Old Yeller' to the rescue!

When Dharma's charismatic old boyfriend, Leonard, suddenly re-enters her life after a year in India, Greg finds himself extremely uncomfortable around him—especially when it becomes clear that absolutely everyone else, from Greg's parents to even Marlene, absolutely adores Leonard. Weakened by battling a bad cold, Greg is thrown for a loop when Leonard reveals that he has been celibate since he left Dharma and Dharma decides that she and Greg should give abstinence a try as well. Finally, Dharma informs everyone that they should respect Greg's wishes and not see Leonard any more—then everyone simultaneously spots Greg on television enjoying Leonard's company and his benchside basketball tickets.

The pretense that everything is fine with Greg's parents finally proves too much for Dharma, who snaps during dinner at a Chinese restaurant and has the bad news served to Greg in a fortune cookie (to the absorbed interest of the Chinese family sharing their table). Trying to help the Montgomery's non-existent sex life, Dharma takes Kitty to her local neighborhood erotica store, where they naturally run into Abby and Larry. Greg and Pete take Edward for a drink to commiserate, and Edward demonstrates his ace in pick-up lines: ""Excuse me, young lady, do you have change for a million?"" Meanwhile, Jane has gone off to a Star Trek convention (""I like middle-aged men who are virgins""), leaving her pet Mr. Boots with Dharma and Greg; but Greg freaks out when he discovers that Mr. Boots is not exactly a cat.

Spring fever hits klutzy Dharma, moving her to dance naked on the roof (in full view of a newscast helicopter and, hence, an appalled Kitty), carpet the apartment with live grass and enter a ballroom dancing contest at the Montgomerys' posh country club. Reluctant Greg insists they should accept that they have no chance of winning and merely enjoy themselves, but Dharma confesses to her parents that for once in her life, she's like to be competitive at all costs. Trouble is, the brunt of her aspirations is borne not by her competition but by Greg.

When Greg hosts a poker game, Dharma takes advantage of the occasion to meet his buddies. Petty jealousies surface as she begins befriending the men and privately advising them on personal matters - including bankruptcy, impotence, and a serious crush one of the men has on Greg - and they in turn begin to full uncomfortable around Greg because he won't share his feelings with them. Upset that Dharma has taken over his friends, Greg tries to bluff her by maintaining that he has plans of his own to hang out with Jane; and when Dharma thinks this an ""awesome"" idea, he finds himself involved in a bizarre role-playing game with Jane's very bizarre friends (including the Vulcan-eared Trekkie seen at the end of episode 20). Meanwhile, Kitty and Edward are unhappily afloat in ""duck soup,"" as their swimming pool is invaded by waterfowl. Enter Abby, who is getting a Berkeley degree in ornithological intelligence. (Larry: ""It's the study of bird brains."" Kitty: ""Oh, that must be useful."")

A new path in life opens suddenly at the newlyweds' feet when Donna, the express checkout girl at their local supermarket, reveals that she has been dumped by her boyfriend just as she is about to bear his child. When Dharma brings her home for the night, Donna gets a bright idea: why doesn't she give the baby to Dharma and Greg? Greg is dead against the idea but.... you can guess the rest except maybe the fact that the baby turns out to be black.

Abby and Larry assemble a village, which includes an African spiritual adviser, a troubadour, a storyteller who has taken a vow of silence, a lesbian lactation expert, and Jane to help Dharma and Greg with the baby. Greg is pleased, sort of, until he realizes that this entails everyone living with them during the baby's first formative years. Meanwhile, Kitty takes to her bed, convinced that her life is over now that she has become a grandmother overnight. Dharma promises to help Kitty fulfill her matriarchal ambitions by having ""a whole buttload of kids,"" but is taken aback by Kitty's first dynastic decision: to name the baby after Edward's wealthy uncle Fergus.

Experimenting to see if her parents can be trusted to mind the baby, Dharma and Greg take the baby to the movies with them, but the incessant crying annoys the patrons around them, Dharma's crying. Abby approached Kitty to see if they can agree on a compromise between their family traditions for the baby's naming ceremony, which results in a huge gathering and a minister, a rabbi, and a shaman. (Yes, they tell jokes.) Even Kitty, with the help of Larry's special cookies, gets into the swing of things; and all is happiness until a telegram arrives: Donna has changed her mind and wants the baby back.

In the middle of a typical in-law squabble, Dharma and Greg answer an emergency call and rush to hospital. There they find a partially immobilized Pete, who has dislocated both shoulders in a bizarre car accident. Greg is not too pleased at Dharma's offer to nurse Pete back to health, and after a traumatic visit to Pete's apartment to pick up his cat gives her far too much insight into Pete's life (or lack thereof) Dharma finds herself committed to cleansing her house guest both physically and spiritually.

Meanwhile, Kitty convinces Abby's ""Save the Ducks"" fund raising committee that rather than making $800 with a bake sale, they can raise $80,000 with a fancy celebrity dinner featuring ""Alan Alda, or one of the Baldwin boys."" Trouble is when the event gets under way, the celebrity turns out to be not exactly environmentally aware Andrew Dice Clay.

Jane becomes addicted to the one acceptable item in Pete's apartment: his vibrating, um, massage chair; and Pete's final act of chauvinism

Greg is forced to make a very embarrassing public admission when he sees the first girl he claims to have slept with and her jealous husband makes some serious threats. Meanwhile, Dharma and Greg attend the wedding of Kitty's housekeeper and offer to park cars as a wedding gift.

Gail Mancuso seems to direct all the best episodes, and this is no exception: A friendly game of strip poker between the newlyweds is interrupted by an emergency visit from Larry and Abbie (who are willing to wait a half hour until the sex is finished, an offer Greg can't accept). It turns out that their property is under siege by an unscrupulous developer who happens to be a former, and hated, classmate of Greg's. After Dharma invites the developer and his wife to dinner, then has to fight off his sexual advances, she is forced to accept Greg's viewpoint -- that he is evil -- and to seek a flattered Kitty's advice on how to get rid of him and save her parents' beloved home. The solution involves Jane, Pete, a trampoline, some garbage cans, and the IRS... and a wonderful coda using the trampoline. (In the course of the episode we also learn that Dharma has been both a magician's assistant and a professional casino dealer.)

When Greg convinces Dharma to accompany him and Pete to a football game, despite her lifelong aversion to competitive sports, he is unprepared for her sudden and total conversion into a fanatical San Francisco 49ers fan--and the term ""fanatical"" is not used lightly. When Dharma sneaks out to a game in the middle of dinner with her parents, Greg decides she needs help, and arranges an intervention involving quarterback Steve Young.

Role playing at a golf shop, the couple put on fake Southern accents and wind up endearing themselves to a genuine Southerner -- who turns out to be the federal judge before whom Greg must argue a cast the next day. After an evening's panic, he decides to tough it out and wins the case hands down (while mystifying Pete). But he discovers he has succeeded only too well: Judge Harper becomes the couple's best friend and constant companion, and Greg despairs at having to keep up the pretence forever -- especially when the judge comes to meet the entire extended family.

As Election Day approaches, Dharma and Greg's relationship hits stormy seas due to clashes over her campaign strategy. Meanwhile, an aggressive opponent may really rain on Dharma's parade.

When Greg rather reluctantly gives Dharma half of his on-line investment account, she becomes obsessed with profit (even borrowing from her parents), but unwisely follows a tip from a friend of Larry's and sinks everything into a San Francisco company that promptly sinks even further. When she appeals to a recently retired Edward for help, he quickly rejuvenates the business, which happens to merchandize women's fashions for men: edrag.com; but Kitty objects that Edward's golden years were reserved for her.

Dharma pushes her mother-in-law's fortitude to the absolute limit when she presents Kitty with an award at a country-club luncheon -- and later wrecks her car.

Greg is forced to go with the flow when Larry makes a few improvements in the loft and lets in more than just a spring shower; and Dick Clark pays a visit during Edward's surreal flashback sequence.

Greg fouls out as part of his wife's New Age softball team, while Dharma learns that Edward's sporting a new lady around town.

Abby's labor is a real pain for Dharma when she must share midwife duty with a celebrated author well-versed in childbirth. Meanwhile, Larry's also acting like a brat, after Kitty and Edward present the expectant parents with a new van.

Dharma realizes she should have left well enough alone when Greg's surprise party nearly brings the Finklesteins and Montgomerys to blows.

Dharma finds a way to bond with Kitty – and score some cash – after unleashing her mother-in-law's secret skills as a pool player. Greg, meanwhile, races around town to find a replacement rat after killing his wife's beloved house pest.