Michael must sell the beach house to pay off his debts. The voyeuristic real estate agent closes a deal within two days, then sleeps with Michael. Jane and Michael reminisce about their first date, but she tries to move on by going out with a dork from the office. Amanda plans to turn over day-to-day control of her agency to Ryan. A lazy lab technician's error convinces Kyle that he is sterile. Ryan and Megan's first date is a disaster, but they later admit their attraction and kiss. Lexi, Amanda and Eve organize a charity Christmas function. They visit a Christmas tree lot, where a former prison guard recognizes Eve. Lexi witnesses an argument between the two and suspects that Eve is hiding something about her past.

Lexi, Amanda and Eve are caught in a bank hold-up involving men in Santa Claus suits. The guys (including Dr. Visconti) plan to play Santa at area elementary schools, but are mistaken for the bank robbers and arrested. They are detained until Lexi, Amanda and Eve clear up the misunderstanding. Amanda begins to worry about Kyle's drinking. Travis tries to blackmail Eve into sleeping with him, but Kyle pummels him and orders him to leave town. Lexi has an enlightening conversation with Travis, which leads to a fist fight with Eve. Lexi warns Peter that his current and former wives are keeping a secret from him. An eccentric judge orders Michael and Jane to spend the holidays performing community service together. Jane forgives Michael, who then has himself delivered to her apartment in a box. Lexi surprises Megan with a catered Christmas dinner, only to find that she has spent the greater part of three days in bed with Ryan. The teen pop group Hanson performs a charity concert at the clu

Amanda loses Tony's account because the commercial footage was destroyed. She decides to shut down her agency. Peter ends his marriage so that he can be with Amanda. Jane and Kyle nearly split up because of his insistence on consoling Amanda. He catches Amanda and Peter sharing a hotel room, and Eve overhears this information. Eve beds Travis, the ex-prison guard who harassed her, but he refuses to do her dirty work. She goes totally psycho and plots revenge against everyone. A jealous Michael tries to stop Lexi from sleeping with Tony. He helps her escape a potential confrontation with Mrs. Marlin. Tony comes to Lexi's apartment to close the deal, but dies in her bed. Terry lusts after Ryan, who is initially oblivious to her advances. He finally tells her that he is not interested and proposes to Megan.