Kyle experiences nightmares about Christine, a lover who died in the Gulf War. Taylor snoops through Kyle's foot locker after Amanda asks her about Christine. Peter warns Kyle that Amanda is trying to have herself transferred to a rehab hospital. Kyle and Amanda get engaged. Taylor calls Nick in search of information about Christine, but he refuses to help. Bob threatens to go to the police unless Peter breaks up with Lexi. Peter pretends that he still has a thing for Amanda, and Lexi slaps him. Lexi manipulates Bob into clearing her of all charges, then reveals that she and Peter had only pretended to break up. They pay off Bob. Lexi's father arrives, and instantly dislikes Peter. Megan and Jen are wary of Michael's relationship with Amber. Amber breaks up with Michael after he insults her, but later agrees to move in with him.

Taylor visits Nick in Dallas. Even after they sleep together, he is unwilling to tell her anything about Christine. She convinces him to help her break up Kyle and Amanda by telling him about the jazz club (which Nick had always dreamed of opening with Kyle), and how pathetic Kyle has become. Nick says that Christine didn't immediately die of her injuries, but convinced him to tell Kyle she was dead so that he would move on. Michael is ousted from the practice after Amber gets drunk and embarrasses him at a company function. Megan breaks up with Brett, who had provided Amber with the liquor. Michael throws Amber out, and she responds by cleaning out his house. Lexi's father continues to put down Peter and compare him to Brett. He gives Lexi a job managing one of his companies. Billy and Samantha try to convince a hot baseball prospect named Jeff Baylor to become a spokesman for one of their clients. Jennifer learns that Craig has instituted potentially deadly cost-cutting moves at the

Jennifer warns Michael that their mother, Mia, is coming for a visit. Jen has given her the impression that she is engaged to Craig. Michael is arrested for causing a scene at the strip club while searching for Amber. Jennifer is forced to turn to Mia for bail money. Mia mistakenly believes that Billy is Craig, but he refuses to play along. The police inform Jennifer that Craig has killed himself. Billy becomes depressed by the connection between Samantha and Jeff. He gets drunk, and agrees to pose as Craig. Jeff kisses Samantha, and Billy and Jen lock lips after he gets a little too caught up in the charade. Taylor tells Kyle that Christine is alive, and gives him a letter that Christine had supposedly written to him back in Boston. Amanda convinces Kyle to visit Christine in New Mexico, and he asks her to tag along. Sterling makes Lexi and Brett business partners.

Christine tells Kyle to move on with his life. She declines Amanda's wedding invitation, but later has a change of heart and comes to Los Angeles. Peter shows up in Sterling's hotel room with a tape recorder in the hopes of proving that Sterling is to blame for their rift. Lexi's father collapses during the argument and later dies. Megan is jealous when Brett comforts Lexi. A gunshot victim named Spider convinces Michael that he can get rich by starting a clinic in the man's neighborhood. Michael persuades his family to invest money in the venture. Billy continues to pose as Craig, but Jennifer is forced to tell Mia the ""truth"" after she catches Billy with Samantha.