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Matt and Kathleen intervene and devise a plan to save the town's sawmill from bankruptcy.

Matt is held responsible by an angry landowner when the government decides to take his land to dam the valley.

Kathleen has arranged to buy a new printing press from a wheeler-and-dealer in Blaine's Ravine, who tries to cheat her on the deal. Robbie and Michael outwit him. Montana Hale arrives in Patterson's Creek, complete with riding boots with spurs, American saddle, and Winchester rifle. Kathleen and Matt set a wedding date.

Matt and Kathleen's wedding day is marked, and could be marred, by a woman who appears at the church and wants to buy a horse from Matt. Matt finds a riderless horse and goes off to investigate, without telling anyone.

Montana's new horse is stolen by rustler Seb Holgate after she bests him in a shooting competition. Montana sets out after him and is joined by Kathleen.

Danni and her father Matt argue after he tells her he wants her to go to a ladies finishing school. Objecting, Danni runs away to the cabin and spends the night, only telling Michael where she was going.

Kathleen's husband, who was thought to have perished eight years ago, returns to make amends with Kathleen and Michael for his deceit.

Emily is still ill from drinking water from the river and it turns out someone has built a dam. Matt makes the decision to get rid of the dam by using dynamite, but one person is killed in the explosion.