Naomi returns from her vacation in St. Bart's excited to spend time with Liam. However, their first date is uneventful since they have nothing in common which leads Naomi seducing Liam aboard his his newly built boat. Adrianna and Gia bond after they meet during an AA meeting and establish a support system for each other which leads to the two sharing a kiss at the Beach Club. Meawnhile, Jasper begins to blackmail Annie by threatening to tell the authorities about her hit-and-run accident if she breaks up with him. Navid and Dixon devise a plan to remove Jasper from Annie's life by planting cocaine in his locker, but they never anticipate the outcome of a school drug search. Dixon attempts to rekindle his relationship with Silver, while Silver hides her true feelings for Teddy. Also, Harry and Debbie run into Kelly while attending a school function and the jealous Debbie confronts Kelly about her having a crush on Harry.

Naomi, Silver and Adrianna go shopping in the Palisades Mall and run into Annie on a date with Jasper. Annie further arouses the girls suspicions when she refuses to give them an explanation why she's still with Jasper despite knowing his true nature. Unknown to everyone, Jasper continues to blackmail Annie with photographic proof of her hit-and-run. But Annie eventually turns the tables on him when she gives Jasper an ultimatum by threatening to drag him down with her in which he backs down and Annie's mind is finally put at ease... so it seems. Afterwards, Naomi tries to be Ivy's friend and they try to end the awkwardness between them by going on a nature hike. But Naomi discovers Ivy's ulterior motive to embarrass Naomi which leads to them getting into a fistfight at the beach. Meanwhile, Adrianna and Gia's close friendship continues to develop when the two of them throw a pity party for themselves while Gia's former girlfriend, tries to win her back. After Dixon comes clean to both Silver and Teddy about trying to keep them apart, they both toy with the idea of trying to make a relationship work. Also, Ryan meets a free-spirited woman, named Laurel, at a bar, which soon leads to them going into Laurel's car for some quick intimacy. But it turns out to be that Laurel is Ivy's hippie mother. Elsewhere, a surprise visitor, whom is Dixon's biological mother, shows up on Harry and Debbie's doorstep.

A guilt-ridden Naomi is forced to testify against Mr. Cannon in court during her sexual harassment hearing when she feels she losing control of her ability to lie about it all. Meanwhile, Annie tries to move on and forget her relationship with Jasper by hanging out more with Silver when they decide to purchase a '65 Ford Coupe for themselves, but when she and Silver drive past the scene of her hit-and-run, the guilt comes rushing back to haunt her. Dixon and Ivy continue to maintain their fake relationship and decide to take it to the next level. While Navid becomes uncomfortable about Adrianna's new romance with a girl, both Gia and Lila grow uncomfortable with Navid trying to start a friendship with Adrianna which leads to Gia cheating on Adrianna with her ex-lover Alexa. Elsewhere, Ryan continues dating Ivy's troubled mother, Laurel, who pulls him into her dangerous lifestyle of pot-smoking and free-love, while at the same time, Laurel wants to sign Adrianna to a recording contract, but wants her to leave her band first. Also, Liam receives a surprise visit from his estranged father, Finn, who was recently released from prison and has apparently been trying to go straight by opening up a local bait and tackle shop.