As the holidays approach, Olivia is dead set on going to Philly to win Jack back, only to find out he is back in town unannounced to tie up loose ends. Seth returns to Cedar Cove with good news of a new business venture, but it’s complicated by Warren’s involvement. Meanwhile, a beautiful, pregnant stranger comes to town, and her true identity is a surprise to all, especially Jack.

Christmastime is here, and Cedar Cove is a flurry of activity. Justine is shocked to learn Warren is under investigation by the FBI. She and Seth fear all is lost when it looks like their new restaurant is the target of arson. Eric finally turns up in town, and Jack is eager to help his son become a responsible father. While Grace does her best to make up for past mistakes with Cliff, Maryellen finally tracks down the ever elusive John Bowman.

In Part 1 of the two-part second-season opener, Olivia deals with difficult memories as she tries to comfort Jack and Eric at the hospital. Elsewhere, Justine and Seth disagree with Warren in the wake of the restaurant fire.

In the conclusion of this second-season opener, an impending adoption causes turmoil, so Jack and Olivia get involved in the situation. Meanwhile, Maryellen sets out to clear John of any wrongdoing, but she gets tangled in a criminal's plot.

Jack wants his romance with Olivia to progress, but Olivia feels he's pressuring her. Elsewhere, Grace struggles to take the final steps necessary to put her marriage behind her.

Olivia wants Grace to confront her ex-husband regarding their ugly divorce. Meanwhile, Justine meets a distraught war veteran who's hiding something and tries to help him.

Despite Rebecca's bad attitude, Olivia takes a chance on her; Jack doubts himself in the newsroom, leading to damaging consequences.

Jack hides his relapse from Olivia just as she puts full faith in their relationship; Eric becomes involved in Warren's dishonest deals.

Olivia continues to feel uneasy after learning about Jack's secrets. Meanwhile, a charismatic new district attorney and some unwanted visitors arrive in town, and a proposal is made.