Jade apologizes to Will and Gwen. After, Barbara breaks the news to Will and Gwen that Paul is gone. Luke confides in Jade about his feelings for Noah. Jade informs Lily and Luke that she is going back to her adoptive family. Maddie tells Noah she wants to pretend what they did in Branson never happened. Noah reveals to Maddie that Luke told him he was gay, and that he wants to keep seeing her. Luke sees Noah and Maddie kissing. Katie tells Brad that he's messed with her life for the last time. Brad warns Carly that Katie is on to them. Carly kisses Jack, and says she doesn't believe Jack when he says that they are over. Affected, Jack leaves Carly to go to Katie. Vienna fills Jack in on what Brad did, and Jack says he might be ready to propose to Katie.

Meg tells Craig she wants an annulment, and Craig accepts Meg's decision. Later, Meg confides in Lily that she and Craig are splitting up. Craig urges her to attend Paul's memorial but Meg is wary. Kim and Lily arrive at the memorial with a flower arrangement. When Barbara learns that it's from Lucinda, she stomps on it. Meanwhile, Will discovers that Gwen doesn't feel well but Gwen convinces Will to go to the memorial. Barbara bemoans the fact that the memorial will be so sparsely attended when Craig and Meg arrive. Jack proposes to Katie, but she's scared of Carly's pursuit of Jack. Jack tells Katie that he rejected Carly. Jack realizes that the situation is tough for Katie, and wants to know if she can handle it. Katie accepts his proposal. Carly realizes she needs to break the news to Parker about Paul's death. Jack arrives and Carly assures him that she only called him for Parker's sake. Parker wants Jack and Carly to accompany him to the memorial – like a family. When Henry finds out Vienna helped fix Jack and Katie's problems, he wonders why. Vienna tells Henry that she helped Katie because she's Henry's best friend. Later, Katie admits she's sure that Carly was involved. Vienna is thrilled, so she can squash Carly, but Katie insists that she trusts Jack.

Barbara orders both Meg and Craig to leave Paul's memorial. Will takes charge, making it clear that Craig will have to go. Meg leaves, distraught – going into Lucinda's comforting arms. Lily's amazed when Craig tells her that Meg can do whatever she wants with WorldWide and still annul the marriage. Meanwhile, Lucinda pushes Meg's buttons by asserting that the only real way to honor Paul is to get WorldWide back from Craig. Meg is ready to give the company back to Lucinda, but Emma suggests that perhaps Meg should keep the company, and do some good with it. Embarrassed Faith admits to Parker that she's been angry because he didn't want her as a girlfriend. Surprised Parker apologizes for hurting her feelings and they have a rapprochement – as upset JJ watches. Alone with Jack, Carly confesses her part in Brad's plot. Jack's angry at first, but agrees that helping Parker through this has shown him how deeply bonded they are. Carly's relieved to have gotten her wrongdoings off her chest, but is stunned when Jack tells her that he is, indeed, going to propose to Katie.

Dusty wants to contact Emily and break the news about Paul's death, but Susan orders him to stay away from her girls. Alison learns Aaron's staying and hopes they can be friends, but he insists that he can't forgive her. Dusty finds Alison drinking, and tells her to stop punishing herself. Dusty warns Aaron that pushing Alison away will trigger her self-destructive behavior. The bartender refuses to serve Ali, and she spots Jesse and decides to score some meth. With Katie's encouragement, Vienna and Henry decide to look for a spa space. Henry agrees to walk Katie down the aisle when she marries Jack. Katie assures Henry she's confident that Jack loves her. Jack explains that proposing to Katie has nothing to do with Carly. Jack makes a dinner date with Katie and then meets with Vienna to select an engagement ring. JJ wants Carly to stop the proposal. Ava introduces herself to JJ. As Jack and Vienna admire the ring he intends to give Katie – Carly enters and sees it.

At Yo's, Jesse tries to get Alison to trade him for the crystal meth by performing for him, but she says he'll have to take cash because she's out of that business now. She buys the meth and leaves, going to Susan's house, where she takes it out but doesn't use it yet. There's a knock on the door, and it's Aaron. When she asks why he's there, he tells her he can't help caring about her. He also tells her that Dusty came to see him and that he can see that Dusty really does care about her. Alison wants to know what Dusty told him, and Aaron says he told him that he shouldn't turn his back on Alison now and that he should keep an eye on her to make sure she's okay. Alison bristles at that and tells Aaron that he's done his duty and she's fine. Aaron says he doesn't want her to do anything stupid like get back into the crystal meth, and he asks her to promise that she won't. She promises him and sends him on his way, then she sits down and takes out the vial of meth again and decides to throw it in the trash. Susan arrives, and Alison tells her why Aaron stopped by. Susan tells Ali not to read too much into it, and Alison says she won't, but she needs to get to a meeting. She tells her mom that she understands if she's still mad or scared or worried, but she thinks she's turned a corner today, and everything will be okay. Meanwhile, Aaron runs into Holden and tells him he decided to stay in Oakdale for awhile, and that he doesn't think he and Ali are completely over yet. He tells his dad that he thinks they can still be friends and that maybe it will turn into more in due time. Holden is pleased that Aaron has grown up so much since he's been gone. Later, Alison is in Old Town and is accosted by Jesse and 2 of his friends, who want her to "perform" for them; as Aaron walks up and overhears them, Alison first tries to get Jesse and his friends to go away, but then, with a twinkle in her eye, she tells Jesse she'll give him what he wants.

At the Lakeview, Carly walks in and sees Vienna and Jack looking at Katie's engagement ring and overhears Jack telling Vienna that although he's nervous, he knows he's doing the right thing. They leave, and Carly then runs into Gwen, who looks ill. Carly gets Gwen to agree to let her take her home. There, they talk about Carly's firm belief that Jack still loves her despite the fact that he's proposing to Katie tonight. Gwen thinks Carly is deluding herself and should focus on her kids, remembering that they are the reason she came back to town in the first place, not Jack. She tells Carly that she can't erase everything that's happened to Jack in the past few months just because she's now decided she wants him back. Carly is not pleased with Gwen's take on the situation and chalks it up to her being ill, but she says she has to leave to go back to her place and meet JJ, who's spending the night. Gwen apologizes if she was harsh, and Carly leaves. Gwen then seems to suddenly realize something, and she grabs her purse and leaves. When Will comes home later, he asks her if she saw the doctor and found out what was wrong with her; she tells him she didn't see the doctor, but she does know what's wrong: she's pregnant!

Katie goes to Al's to pick up some coffee and runs into Brad, who tries to apologize for the phony engagement ring plot. Katie tells him it doesn't matter because as it turns out, Jack is actually going to ask her to marry him tonight, for real. Brad says he thinks that's overcompensating on Jack's part for Katie's hurt feelings, and Katie angrily tells Brad to leave. Katie goes to Vienna and Henry's suite, where Vienna is going to help her get ready for her big date with Jack, and she tells Vienna about what Brad said and about her own worries about Carly and Jack, saying that what Jack has told her (that it doesn't matter anymore what Carly wants) is exactly what she told Mike right before she slept with Simon. Vienna tells Katie that Jack knows how he feels and that Jack and Katie are both ready for this, and Katie shouldn't worry so much. Meanwhile, at the farm, Brad catches up with Jack and tells him he thinks Jack's making a big mistake. Jack tells Brad that his mind is made up and nothing will stop him from proposing to Katie. Brad reluctantly ends up telling Jack he's a lucky man, and he leaves, going to Yo's for a beer, where he ends up flirting with a female customer who asks if he'll join her for a drink and who wonders why he's all alone.

The woman who approached JJ in Old Town introduces herself as Ava Jenkins and tells JJ that she was Julia's roommate in nursing school down in Waco. She tells him how sorry she was to hear about Julia's death and tells him she loved Julia and misses her. JJ says he does, too, but he has a new mom now. Ava tells him that's great, but he tells her it's not so great, because his dad and mom are divorced, and now his dad is marrying again. Reminiscing, Ava tells JJ she still carries around a letter that Julia wrote to her, and she asks if he wants to see it. She shows it to him and points out how at one point, Julia mentions having her music box, which she tells JJ she left behind when she moved out. JJ says he thinks he knows the music box she's talking about, and Ava tells him it would mean a lot to her if she could have it back. She talks JJ into going home to look for it, saying she'll wait there for him in Old Town .

Jack runs into JJ at the farm and sees that he has Julia's music box. JJ says something made him think about it today, and he tells Jack he's worried that Carly will leave again after Jack marries Katie because she only came back so they could be a family again. Jack says Carly came back because of the kids and that she wouldn't leave just because he gets married again. He tells JJ that they're all still a family, and if he marries Katie, then there will be 1 more person to love JJ, so it's a win-win situation for everyone. JJ asks how it's a win for Carly, and Jack says maybe it will force her to move on like he's moved on with his life. Jack offers to drive JJ over to Carly's, but JJ wants to ride his bike, so Jack tells him to leave soon, before it gets dark. JJ takes the music box back inside, and after Jack leaves, Ava walks in, saying she waited for JJ for a long time, but he didn't come back. JJ tells her he couldn't find the box, as he hides it behind his back; Ava says she doesn't believe him, and she doesn't think Julia would be happy to see that her son has become a liar. She tells JJ to give her the box --- now.