Michael must sell the beach house to pay off his debts. The voyeuristic real estate agent closes a deal within two days, then sleeps with Michael. Jane and Michael reminisce about their first date, but she tries to move on by going out with a dork from the office. Amanda plans to turn over day-to-day control of her agency to Ryan. A lazy lab technician's error convinces Kyle that he is sterile. Ryan and Megan's first date is a disaster, but they later admit their attraction and kiss. Lexi, Amanda and Eve organize a charity Christmas function. They visit a Christmas tree lot, where a former prison guard recognizes Eve. Lexi witnesses an argument between the two and suspects that Eve is hiding something about her past.

Amanda is not seriously injured, but loses the baby. Kyle refuses to acknowledge that the child was his, and leaves Peter to break the news. Eve vanishes, and her parole officer warns Peter that she could be arrested unless she resurfaces. Eve stays on the boat of her former cellmate, Jackie. They plan to sail away to Mexico, but Jackie tips off Peter, who convinces Eve to return home. Kyle decides to run away to Boston. Peter discovers that Kyle is not sterile. He has Amanda flown to the airport in a chopper so that she can stop Kyle from leaving. Peter and Jane see the tapes of Michael with Audrey. Jane dumps him again, and buys the beach house with a loan from her father. Peter takes pity on his partner and lets him keep his job. Lexi learns that Ryan has been engaged three times. She pressures Megan to propose in the hopes of exploiting Ryan's fear of commitment.