Kelly is called on to make a life-or-death decision for her emphysema-stricken grandfather, whether or not to put him on life support. Matt is hired to defend a tobacco company in a civil suit, causing Kelly to be defense over her dying grandfather issue. Meanwhile, Steve wrestles with his thoughts as news about his mother's lesbian romance spreads. Dylan takes his Porsche out of storage in an attempt to kickstart his life again, but experiences recurring nightmares involving the death of Toni years ago. Gina gives up trying to break Noah and Donna up and turns her sights on Dylan. Donna befriends a female gang member, Sonia, who cannot leave the gang she's in.

Dylan whisks Kelly away on a plane to Mexico to be with her, while he uses the trip to smuggle heroin into the USA for his own use. Gina continues to woo Dylan to know him, while Matt becomes jealous over Dylan's constant presence around Kelly. Meanwhile, the Brian Setzer Orchestra is featured at an AIDS-benefit dance marathon at the After Dark where Steve overextends himself when he inadvertently pledges $12,000 to sponsor a couple who turns out to be his former fraternity brother, Muntz, and his wife. Also, Sonia's girl gang member friends affect Donna's business at the boutique shop "Now Wear This!" by their presence. When the store is robbed one night, the missing Sonia becomes the chief suspect. Noah also asks Gina to help him and Nat plan Donna's 24th birthday party for Christmas Day, where Gina has a little too much to drink and finally reveals her true contempt feelings about Donna in front of everyone.