In her room at the Lakeview, Rosanna warns Jordan about Paul's plans for BRO. Meanwhile, Paul confesses to Carly his role in Rosanna losing Cabot. Stunned and angry, Carly rushes to see Rosanna. The sisters share an emotional reunion but when Rosanna realizes Carly and Paul are working together, she makes it clear that Carly must make a choice between Paul and her.

Jordan asks Jennifer about Paul's reason for returning to BRO. When Jordan poses the question to Paul himself, Paul is hostile. At the same time, Jack interrogates De Grassi and realizes that Rosanna may have ordered the break-in to her own home. Craig realizes Rosanna is back in town.

While Mike wonders where Pilar has gone, a guilty, caught Pilar overreacts to being seen in public with an unknown man by Katie ­ and Katie comes to the disturbing conclusion that Pilar is hiding something after all. Katie goes to Margo with her suspicions. Margo tries but fails to get Katie to drop the matter. Meanwhile, Mike finds out from Pilar about the man she saw. He does not think she is telling him the whole truth and demands she get out.

Margo and Katie were talking about Pilar and how strange she was acting. Katie wanted Margo to look into what Pilar was up to but Margo said that they had no cause to investigate Pilar. Margo told Katie to leave Mike alone and move on. Katie said she knows she can't be with Mike because Simon is still alive but she knows that Pilar is up to no good. Mike confronted Pilar about her whereabouts but Pilar would not tell Mike the truth and left. Katie appeared at Mike's door wanting to see Pilar and was surprised that she was not there. Katie didn't believe that Pilar would be gone for long. Mike told her to mind her own business and to stop looking for trouble. Katie kept arguing with him and Mike ended up throwing her out!

Rosanna gave Carly an ultimatum to end her working relationship with Paul. Rosanna felt that Carly could achieve success on her own or with Rosanna's help but Paul could not be in the picture. Craig arrived at the door and Rosanna told him that she needed to talk to him. After re-hashing what happened with Cabot, Rosanna presented Craig with divorce papers. Craig claimed he would not make it easy for her. Rosanna said fine. She would take him to court and destroy everything he had. Craig said he was not going to give her a divorce so Rosanna told him she would give him a few days to think it over. Craig started talking about Rosanna's disappearance and brought up De Grassi's name. Rosanna cut him short and told him to leave. Rosanna then grabbed her coat, said to herself, "De Grassi, how could you be so stupid" and left.

Jack was questioning De Grassi and tried to get him to open up about Rosanna. Carly came in and told Jack where Rosanna was. Carly explained to Jack that Rosanna was so upset about losing Cabot and what Paul did to her that Rosanna gave her an ultimatum. Carly told Jack that she really wants a career so Jack told her that he would stand behind her no matter what decision she came to. Jack went back to De Grassi and told him he would let him go if De Grassi told Jack everything he knew about Rosanna Cabot. Just as De Grassi was about to talk, Rosanna walked him and told him to stop talking!

While Jennifer was getting the drinks, Paul and Jordan were talking about BRO when Jordan started questioning Paul about his motives. Paul showed no emotion and basically told Jordan that he worked for Paul and had no right to question his motives. Jordan strongly disagreed and left with Jennifer. Later, Jordan told Jennifer everything about his conversation with Paul. Jennifer explained Paul's involvement with BRO and how he started the company and put it on the map. Jennifer wanted to believe that her brother was doing the right thing. They were interrupted by a call from Will. Back at the Lakeview, Paul ran into Lucy and told her the whole story about Cabot's adoption. Lucy reacted like everyone else and told Paul that she couldn't forgive him for what he had done. Later, Carly caught up with Paul and told him she had made a decision.

Susan presents Chris with the check from Alison's college fund. Chris is beyond touched but refuses the money. He explains that he wants Alison to go to college once his practice is up and running. Both Alison and Susan are thrilled.

Later, Chris suggests they join a group of his colleagues at the Rose Foundation benefit tomorrow night.

Alison is overjoyed until they run into Tish and a couple of nurses from the hospital who fan over Chris and virtually ignore Alison. Carly tells Paul as per Rosanna's ultimatum, she will not work for him. Paul blames Molly for spilling the beans, but realizes she isn't responsible.

Jordan is searching for clues to prove Rosanna's theory in Barbara's office. He hides and overhears Walker inform Barbara that she may have a brain tumor. She is rattled but refuses to go in for treatment until after the fashion show. After Walker leaves, Jordan reveals himself and that he heard all. He urges her to undergo treatment ASAP, but Barbara insists she has to go through with the fashion show for her children. Jordan agrees to keep her secret.

At the police station, Rosanna doesn't want to press any charges for the break-in. Jack will book De Grassi for the assault on the maid. Later, Rosanna is pleased when Carly tells her she broke off her partnership with Paul. Jack warns Rosanna he knows she's up to something and he'll be watching her from now on.

Jessica informs Sarah that she will be allowed to remain with Jessica and Ben. She admits they both made mistakes but wants to bring Sarah home. When they arrive, Ben has a surprise: Bonnie, who got an early release. Jessica and Sarah are thrilled to see her. When Ben and Bonnie are alone, Bonnie reveals she is keeping something from Jessica.