Paula tells Greg that she's tired of him only calling her as a diversion, so if he wants her he'll have to prove it. Michael helps Linda find an apartment. Eric comes to visit and tells Mike that Linda wants the divorce, but he wants to win her back. Michael tells Linda to work things out with Eric. At Michael's birthday party, Olivia and Harold fight and flirt with other's. Harold tells Olivia it was nice to talk with a woman who doesn't look down her nose at him. Olivia takes off her ring and leaves. Linda's upset and Karen tells her not to worry, she and Eric will work things out. Linda says she doesn't want Eric. She loves Michael. Val tells Karen she won't let another one of Gary's demented lovers ruin her life.

Mac discovers that Pomerantz is dead. He finds the doctor who signed his death certificate works for Oakman, and is Pomerantz's uncle. Mac pushes the doctor, who finally admits that Pomerantz is alive and living in Canada. Val tells Amanda she won't get away with her false accusations. Ginny has a ""psychic"" feeling that Danny did rape Amanda, and agrees with Gary to never leave him alone with the twins. Eric tries to work things out with Linda, who says she no longer loves him. Mac and Karen confront Michael. Eric overhears and punches Michael. Eric packs and leaves. Linda moves out to her apartment, and Michael decides to move in with Harold.

Mike loans Harold a lot of money, which he loses gambling. Olivia tells Gary she needs money for tuition, but instead invests it. Mac finds out that Pomerantz is living in Canada as Neil Strauss. He asks Tom to accompany him to Canada. Tom pretends to call Paige, but really alerts Oakman. Oakman sends Joe to Canada to kill Mac, since Tom won't. Pomerantz tells Mac that he'll trade his books of illegal loans for his freedom. They go to the airport and exchange books. Joe is about to shoot Mac when the police arrest Joe and thank Tom for the tip. Tom calls Oakman and says Joe screwed up. He says Mac has the books and is going to the DA. Oakman tells Greg that his pension fund scam is going to be exposed.

The DA says he'll look into the pension fund. Mac discovers that Greg owns Oakman Industries. Greg gives a press conference saying he fired Oakman and will restore the pension fund. Olivia makes a profit. Karen talks to her and explains that Harold is under a lot of pressure to provide for her, and she decides to give him another chance. Harold loses even more of Michael's money in a poker game. Michael asks for the money back, because he needs it for a condo he's buying. Mary Francis comes to see Greg. She was working in a third world country, but came back to the states to research bio-genetics. Greg is really happy to see her and they spend time together. Mary Francis goes to Greg's office. He steps out to speak to his secretary when they hear a shot. Mary Francis has been shot in the head!

The Sumner Group is in Chaos. Tom and police question everyone. Jane comes for Mary Francis' funeral. Tom discovers Paige had a relationship with Greg, and is angry she didn't tell him. Val and Danny move up their wedding date, and Gary implores her minister not to marry them. Danny tells Val that Gary attacked him with a bat. Val confronts Gary who tells her that when she gets married and the minister gets to the part about any objections, he's going to stand up and yell ""Rapist, rapist, rapist!"" Gary asks the William's to keep on eye on Danny so he won't hurt the twins. Gary asks Mac if he has any legal recourse, but Mac says no. Val and Danny elope with only Ginny and the twins at the service.

Both Michael and a bookie pressure Harold for money. Harold asks Mac to loan him $13,000, but when Mac hears how much money Gary has already given him, he says no. Harold calls Tom and says he knows who he works for, but will keep it a secret if he helps him out financially. Greg gets drunk, and the ghosts of Mary Francis and Galveston follow him around. Worried, Carlos calls Paige, but then Paula shows up. Jealous, Tom follows Paige to Greg's. Paige is angry, but Tom says he's never been in love before, and they make up. Carlos gives Greg floppy discs that Mary Francis had in Greg's computer. Police discover where the sniper shot from and due to garbage on the site, think he was there a long time, so Greg wasn't his target, Mary Francis was.

Tom tells Paige he will always love her, and meeting her changed him, and he is going straight. Linda comes onto Michael, and gets nasty when he rejects her. Associate producer Jeff is having an affair with Dianne. He tells both Karen and Dianne that the other is difficult, so he'll run interference. Anne unexpectedly shows up at Paige's. Paula tells Karen she loves Greg, and constantly stays at his side. Anne stops by to visit, and he says ""Anne!"" Danny takes the twins out when he knows Gary is going to spend the day with them. Danny tells Gary he is adopting the twins. Gary wants Val to tell the twins he is their father. Val tells Danny that he can't adopt them, and Danny goes off. He yells, throws things at her, smashes a lamp and says she's crazy. Val is shocked.

Paige tells Tom she'll live with him, and later accepts his proposal. A man named Wayne is following Karen and has several photos of her on his wall. Paula accepts a job in Toronto and tells Greg off. Danny tells the twins that Gary is their father. Bobby is upset and runs away. Gary finds him in a tree, and he explains to the twins that he is their father. Frank stays at the law office. Mac and Karen try to get the Williams' back together. Frank decides to come home, so they both go out to buy spumoni, as they always eat spumoni when making up after a fight. A bartender cuts Danny off, as he's very drunk. Danny buys liquor and drinks it while driving home. He and Pat pull into the cul-de-sac at the same time. Tragically, when she gets out of her car, Danny hits her.

Gary loves being a family, and Val is happy too. Karen is still being followed by Wayne, and he steals her sunglasses. Mac is concerned about a fan stalking her. Diane hires a security guard for Karen - Wayne. Dianne and Jeff break up. Tom gives Paige an engagement ring in a ""Happy Meal"". Greg then gives Paige a HUGE diamond, and suggests they live together. She gives it back to him. Greg is truly upset over Paige's engagement, and hires a detective to get him information on Tom. Pat is rushed to the hospital, and is in a coma. Frank goes to the jail to see Danny. Frank grabs him by the neck and says if he gets out on bail, Frank will be his worst nightmare. Later Danny's attorney posts bail. Pat wakes up, and she and Frank declare their love. Later Pat has a blood clot and goes into another coma.

Linda tries to make Michael jealous. Detective tells Greg that Tom used to be dirty but there is no real proof. Tom gets a new partner, Sandra, who accuses him of stealing $100,000 from a drug bust. Tom insists he didn't take the money. Anne steals Paige's drivers license and puts her photo on it. She opens a bank account as Paige. The twins take video's at the ranch. While watching them, Gary notices Danny in the background of a shot. Karen receives strange letters from a fan who signs his letters ""my love always"". He sends her a scarf to wear on the air, but she doesn't. A light on the set almost hits Karen. When she arrives home, she finds a photo of herself cut into pieces, with ""I hate you"" written on it.

Danny serves Gary with a restraining order, so Gary starts following him around and hires detectives to follow Danny when he can't. Tom and his partner are being investigated. Tom checks his bank balance and is shocked to find $103,000.Anne tells her accountant that she didn't tell Paige about the trust fund she'll get when she's married. The accountant tells her he'll send the money when he receives the marriage certificate. Jeff tells Karen that if she quits, Dianne will replace her as the host. Karen receives flowers that have snakes in them. Terrified, she calls Wayne to come over and stay with her. Mac questions everyone at the station. Since Wayne isn't there, he goes to his apartment, where the landlady is doing some repairs. He sees Wayne's ""monument"" to Karen.

Paige asks Mac to help Tom find out who is setting him up. Mac refuses, so she asks Greg to say he gave Tom the money, but he won't. Linda tells Michael that Eric hit and abused her. He feels bad for her, and they go out. Wayne is arrested for stalking Karen, but he denies it. While he's in jail, someone puts a cow's heart in a box with a note that says ""you have a black heart"". The doctor tells Frank that Pat is brain dead, and it's time to pull the plug. Danny finds out and goes to Frank's, saying if he pulls the plug, then Frank has killed Pat, not him. Julie didn't know about this and screams she's going to get a lawyer. Frank punches Danny, and Mac comes over to break it up. Frank has a talk with Julie. The next day, Danny comes home and Julie points Danny's rifle at him, saying that he is going to die before Pat does.

Julie shoots Danny but misses. Frank hears and talks her out of it by telling her not to become like Danny. Pat is taken off life support and dies as Frank sings to her. Michael and Linda sleep together, and he tells Karen that he is going to marry Linda. Val tells Danny she wants to get back together and will run away with him. He agrees and drives off in Val's car. He's pulled over and police tell him the car was reported stolen, and they arrest him. Val and Gary, watching from a distance, hug. Anne faxes a fake marriage certificate to the accountant, and sets it up to be wired to her own account she set up in Paige's name. Tom and Paige get ready for their wedding ceremony. Greg tells Tom that he set him up, and will only clear him if he leaves the country. Paige is crushed when its discovered that Tom is gone. Gary proposes to Val. Mac and the police find evidence that proves that Dianne has been terrorizing Karen. Dianne goes crazy, and is taken to a psych ward, where they find LS

While in jail, Danny has found ""the Lord."" Upon release he moves in with a woman named Mia who is also religious. Danny keeps going to Val's on the pretext of getting his belongings. He tells Val he won't give her a divorce, as God doesn't sanction it. Greg's poisoning is affecting his liver, and the news hits the paper. His sister, Claudia Whittaker shows up, and Greg says ""I see the vultures are circling!"". Claudia's daughter Kate looks just like Mary Francis. Jeff gives Karen and Mac cell phones for protection and then experiments making a phone bomb. Karen goes to Jeff's, but he sneaks out, and then Meg calls Jeff's number thinking Karen's there. Jeff's apartment building blows up.

Jeff is presumed dead. Ann's livid that Paige's trust fund didn't go to her account, and she returns Paige's wedding gifts for money. Greg asks Paige to go away on a cruise for him. Claudia asks Greg's doctor if a six-month cruise is safe for him and the doctor says he doubts Greg will live that long. Tom comes back and confronts Greg with a gun to have his charges dropped, and tells Paige that Greg set him up. Paige is still mad. She goes to meet Greg for the cruise and asks if he's really dying, because she won't believe her good fortune until he is dead and buried. Kate gets a scholarship she was hoping for, but Claudia lies and says she didn't get it. Danny lets out all the horses at Gary's ranch. When Gary comes to the stable, Danny closes the door behind him and takes out a bat.

Karen is overjoyed to find that Jeff is alive, until he locks her in the station and tries to kill her. He says Wayne was killed in his apartment, and he sent her all the letters. Dianne is there and calls the police. Jeff lies to the police, but Dianne taped the whole thing. Gary calls a frantic Val, and says the airbag saved him, but he kept passing out from the booze. He later talks to Karen, and Karen gives her famous ""Pollyanna"" speech. Paige makes up with Tom and moves in with him. Anne receives compromising photos of herself and a note demanding a million dollars. Danny is found dead and police say his fingers were broken, so they'll have to investigate. The coroner tells Val she's responsible for Danny's body and she's being charged rent until she has his body moved.

The police soon realize that everyone had a motive for killing Danny, but Frank is the only one without an alibi. Karen is depressed over her attack and is afraid to leave the house. Val and Gary ask Mac and Karen to be in their wedding. Paige doesn't go to work and tries to get a new job, but isn't offered any. Linda uses Paige's absence to try to ingratiate herself to Greg. Linda's upset when she hears Greg call Paige and offer her a big promotion and raise. Kate and Greg have a nice talk, and she tells him he and Claudia are exactly alike. Anne calls her ex-lover, Marco Conti, who is rich and married, and tells him they're being blackmailed. It's actually Anne who's doing the blackmailing. Marco says he'll take care of it, and sends Nick Schillace to Knots Landing.

Nick suspects Anne of the blackmailing, and says that he is going to stay with her and go wherever she goes. Anne's upset that Marco only sent $20,000 for the blackmailer. Paige is angry that everyone at the office thinks she got the promotion for sleeping with Greg. She asks Greg why he treats her like dirt. He asks Paige to marry him, but she walks out. Greg is really starting to get sick. Karen goes back to work. Diane says Karen is an egomaniac, and that she got a new job and can't wait to leave. Police find a button by the pool where Danny was killed. Ginny decides to leave. Gary tells Val that his dreams have all come true and that he can't wait to marry her. They go on a family picnic, and the twins run to Gary yelling that something has happened to Val.

Paige tells Mac she never loved Tom the way she loves Greg. Anne and Nick sleep together. She tells Nick that the blackmailers have called for the rest of the money and she's to meet them alone. Nick switches the briefcase with money to one with a bomb in it. Michael gives Linda an engagement ring. Julie tells the police that Danny showed up drunk when she was swimming. He slapped her and said he was going to have her arrested for trying to shoot him. Julie said she ran to the house with Danny following, and his fingers were broken as she tried to shut the sliding glass door. In pain, he staggered around and fell into the pool and drowned. The police rule Danny's death an accident. Val freaks out when Gary sees her trying on her wedding dress, and accuses him of lying to her when she shows up for the rehearsal dinner on the wrong night. She calls off the wedding.

Gary tells Karen he's backing off from Val, the ""queen of her own drama"". Greg collapses and Paige waits with him at the hospital. Claudia tells the doctor that Greg only wants family to visit, and lies to Greg that Paige and Carlos aren't there. Claudia's mad when she finds out that Greg is leaving the ranch to Carlos and everything else to Meg. Julie's friend Jason mouths off to Frank. Nick finds the $20,000 Anne stole, and admits there is a bomb in the briefcase he gave her. Anne has hidden it at Paige's office, but Linda has taken it. Linda seduces Harvey to get him some of Paige's reports, and then accuses him of leading her on. Finding out the briefcase is Anne's, she puts it back, and tells Paige. Anne has called a bomb threat into Sumner group. Paige takes the briefcase home. Anne and Nick decide to split the million, but don't know which briefcase has the money and which has the bomb.

Jason's father beats him. Anne and Nick take the suitcases to a luggage store and call in a bomb threat. Tom, one of the investigators, notices the suitcase is Anne's. He takes it, and with the money buys a one way ticket to Brussels. Anne and Nick go to Tom's apartment, but discover he's gone. Linda sucks up to Alex, who works for Calloway. Alex tells Calloway that Sumner Group is ripe for a takeover. Val tells Karen that Gary is messy and smells like a barn. The help tells Gary that Val left and said she'll be back when ""hell freezes over"". Kate tells the hospital that Paige is her cousin so she can see Greg. Greg is very happy to see her. Claudia finds out that a liver is going to another patient. Since she's not yet in Greg's will, Claudia tells them if Greg lives, he will donate money for a new wing, so they decide to give the liver to Greg.

Because Julie skipped, Frank goes to school with her and sits in on her classes. She's mortified but they make up. Jason tells Mac his father died and he lives in a foster home. Mac talks to the school who says it isn't true. Mac goes to his house and hears his father beating him. Claudia tries to keep Paige from seeing Greg, and meanwhile makes a new will for Greg with her as executor. Greg has his operation and asks Paige to marry him. She accepts. Nick and Anne get married, using Paige's name. Alex asks Linda for confidential figures, so she has him sign a contract that he'll hire her if she's fired. Gary and Karen are concerned about Val's behavior. A doctor tells them she could be having brain seizures due to her fall. Val gets her haircut, leaving the twins home alone. They climb up onto the roof to play.

Gary rescues the twins. Claudia finds out that Anne married Nick for Paige's money, and uses this to blackmail them into signing Greg's fake will. Anne's finds out there is no money left in Paige's trust. Nick has to go to Rome but tells Anne he'll be back. Linda tells Greg that Paige's Calloway report was inaccurate, so she made another one. Greg calls a meeting at his hospital room and berates Paige. Furious, she walks out. Alex tells Linda that Greg has cut his company off and is firing their management. Michael wants to get married on New Year's eve, but Linda wants to wait. Carlos brings Paige her Christmas gift from Greg - a diamond bracelet. Mac calls the police about Jason, and he is taken away. Mac later finds Jason standing in front of his house, and Mac tells Jason he doesn't have to go in.

Mac lets Jason spend the night, but says that's not a solution. Dick Lochner tells Mac that Jason's lying, and Mac goes off on him. The next night Jason sleeps in the park. Julie's teacher Charlotte calls Frank to go to an art exhibit. Not sure if it's a date, he brings Peggy. Then Charlotte asks him out for a real date. Linda is really snide to Paige. In a meeting, Linda gives a suggestion that Greg really likes. Paige is fed up with her and complains about Linda to Greg. Karen offers to ""babysit"" Val. Gary goes to the gym, and is happy to ""run into"" Anne. Karen pays for a pizza with Val's money, and finds her pills at the bottom of her purse. Karen shows them to Gary.

Steve Brewer, a photographer, introduces himself to Kate and pretends to interview her. Linda gives Paige a report for Mrs. Richfield. Paige throws it away and has her take Mrs. Richfield's niece shopping. Linda gives a copy of her report to the niece, and Mrs. Richfield tells Greg she liked Linda's report better. Julie asks Frank to go out to dinner, so he cancels his date with Charlotte. At the restaurant Julie tells Frank she knows Charlotte goes there every Friday, so she took him there to get them together. After Val cooks the twins' hermit crabs for dinner, she agrees to go to the hospital for tests. Jason calls Mac for help. He's been beaten up and claims it happened when he hitchhiked. He asks Mac to take him home. Mac tells Jason that his father abused him too, and that he shouldn't have to live like that. Jason tells Mac to bring him somewhere else.

Mac and Karen go to court and ask to be Jason's foster parents, but the judge decides he should stay with his dad. Mac speeds off with Jason. He hides him in Val's house, but refuses to tell anyone where he is, so he's arrested. Frank and Charlotte go on a date. The doctor tells Gary that Val isn't responding to medication, but might get better on her own. Mrs. Richfield's niece Susie is hired at Sumner Group and does a terrible job. Susie puts through an account Linda was secretly trying to get to Paige, who then takes over the account. Steve asks Kate a lot of questions about her father and Claudia. He accidentally dings Paige's car, and Paige is furious with him and demands he fix it. Steve has a parole officer who says he needs to get a job and stay out of trouble, or he'll put him back in prison.