Peter learns that Alycia is dead. Amanda punches him for setting up Bobby, but later forgives him. Kimberly resurfaces and agrees to serve as Peter's alibi. However, she has turned into Betsy again. She injects Peter with a paralyzing drug and has him committed to a mental hospital that she is temporarily running. Alison stops Jake from killing Richard. Jane tries to file rape charges, but learns that she has no case. Jake and Alison are stunned when Jane says that she is continuing her partnership with Richard. Jane is actually planning revenge, and begins hanging around the shooting range. Billy asks Jake to help him win back Alison. Matt is accidentally injected with tainted blood during a struggle with a street kid at the hospital.

Michael and Amanda hit the road in search of Peter and Kimberly. Peter befriends a nurse, but she turns against him when he uses her as part of a plot to escape. As Michael and Amanda try to infilitrate the mental hospital, ""Betsy"" prepares to give Peter a lobotomy. Matt develops spinal meningitis as the result of his accident with the street kid (who has died of the disease). Jo is angry when Dominick behaves insensitively toward Matt. Michael blurts out that Sydney was responsible for Jane's stroke. Jane blackmails Sydney into participating in her plot to murder Richard. Jane considers a new business proposition when a salesgirl named Samantha Reilly tells her that the store where she works is for sale. Billy and Alison have a disastrous date. Alison is furious to learn that Jake had aided Billy's pursuit of her.

Peter is saved from the lobotomy when Michael and Amanda break into the hospital, but ""Betsy"" captures them and locks them in the boiler room. Nurse Benson realizes that Kimberly is crazy, and tries to release the trio. ""Betsy"" stops them from escaping, but Michael is able to talk Kimberly back to reality. An orderly suspects that Michael has brainwashed Kimberly, and tries to attack him. Kimberly rescues Michael, but falls off a twenty-foot platform in the scuffle. Syd tries to dissuade Jane from continuing her murder plot. Jane offers Samantha a job and apartment in exchange for information on other offers on the store. Jane embezzles money from Richard to buy the space. Matt begins to recover from his illness. Jo is stunned when Dominick proposes. Jake tries to push Alison away when she expresses a romantic interest in him.

Peter is arrested for Bobby's murder. His alibi, Kimberly, drifts into a coma. Amanda marries Peter in a jailhouse ceremony so that she won't have to testify against him. A detective reveals to Amanda that Peter is lying about his identity. Dominick prepares to leave for a yearlong relief mission in Bosnia. He asks Jo to come with him, but she is torn. Matt struggles to catch up with his studies after he is released from the hospital. A classmate gives him amphetamines to help him stay awake, and he becomes addicted. Jake pushes Alison to give Billy another chance. She sleeps with Jake, while Billy is left alone in the rooftop restaurant he had rented for their date. Jane attempts to shoot Richard in his garage, but Syd has removed the bullets. Richard tries to rape Jane, but Sydney conks him in the head with a shovel. After discovering that Richard does not have a pulse, the sisters drive off and bury the body along a hill. As they drive away, Richard's hand shoots up from the dirt.

Jane suspects that Richard is still alive. Sydney suggests that they dig up the body to alleviate her sister's fears. They find that the body is gone, and someone has left a note threatening to turn the sisters in to the police unless they pay him $50,000. After initially trying to use counterfeit money, Jane and Sydney take the cash to the gravesite. Richard appears and points a gun at them. Michael finds Kimberly, who explains that she cannot remember the night of Bobby's murder. Peter is injured after picking a fight with a prison guard. Alison decides to move out of the building so that she and Jake can have time alone. Matt steals Michael's prescription pad to get access to more pills. Taylor convinces Kyle that they should buy a restaurant in Los Angeles.

Jane saves Jake and Alison from the fire. Jane apologizes for her outburst, but later tries to seduce Billy to make the couple jealous. She also makes crank calls and throws a brick through Jake's window. Jake believes Billy is responsible, and assaults him when he and Samantha return from a date. Amanda is annoyed when Taylor and Kyle just happen to show up at the same Palm Springs hotel where she and Peter are spending their honeymoon. Arthur Field gives his son, Craig, a job at D&D. Billy overhears them plotting to destroy Amanda. Billy decides not to share this information after she bows to Arthur's edict and demotes him. Sydney is smitten with Kyle. When he expresses interest in one of Sam's paintings, Syd claims to be the artist's agent. Kimberly is emotionally unable to sleep with Michael. He meets an attractive woman while jogging along the beach. Matt checks into a rehab facility, where the head doctor takes interest in him.

Kimberly orders Megan to stop ""servicing"" Michael, but he refuses to stay away from her. Michael cuts off Megan's relationship with her clients. Kimberly tells Megan that she is dying, and asks her to take care of Michael. Michael asks Peter to recommend him for chief-of-staff, but Peter decides to apply for the job. Kyle forbids Taylor from seeing Peter. Alison takes a temporary assignment at D&D, much to Jake's chagrin. Jake offers to make her a partner in Shooters. Craig tries to move too quickly in his relationship with Samantha. While snooping through his father's files, he discovers that he holds a controlling interest in D&D. A disoriented Jane decides to go home to Chicago for a few days. Dan suggests that he and Matt slow down their relationship.

Kimberly pulls Michael from the wrecked vehicle while Megan calls for help. Michael experiences internal bleeding, and flatlines. He dreams that Kimberly is a devil trying to lure him into the Melrose pool, while Megan is an angel who wishes to rescue him. Peter revives Michael, who credits Megan with giving him the strength to go on. Megan convinces Michael to support Kimberly in her final days. Sydney stakes a claim on Jane's old apartment, forcing Samantha to the streets. Sam seeks the legal assistance of her attorney ex-boyfriend, Kenny. Billy is about to ask Sam to move in with him when Kenny arrives and threatens to sue Amanda. Amanda declares that Sam can stay as Sydney's roommate. Syd spends a romantic weekend with Carter in San Francisco, but it is cut short when Carter discovers how to repair a glitch in one of his computer games. Walter convinces Carter that Syd is extorting money from him. Peter moves into a new house, but seeks to maintain a relationship with Amanda. Taylo

Amanda rejects Craig, who seeks a relationship after their night together. Kyle realizes that Taylor has been lying to him. He visits Nick's motel room and forces him to play the recording. Nick threatens to kill Peter unless Taylor pays him $5000. Nick attacks Peter with brass knuckles. Kyle stops Nick from killing Peter, and helps him skip town. Kyle throws Taylor out of the apartment. Josh plays Megan and Kimberly against each other. Megan is arrested for soliciting an undercover cop. Michael bails her out, but breaks up with her. Matt's brother Luke dies in a plane crash. Matt is shocked to learn that Luke named him the guardian of his teenage daughter, Chelsea.

Sydney and Reilly die in the accident. Samantha does not face any criminal charges, but Craig vows revenge. Jennifer tries to provide Craig with emotional support. Amanda goes to New York and turns down the job she had begged her former boss, Eric Baines, to create for her. Peter and Taylor plan to get married, but Peter instead uses the ceremony to humiliate her and stress the fact that he knows she is not pregnant. Peter threatens Michael, who is unable to use his hands due to the attack. Michael's recommendation helps Matt get a job at an AIDS clinic. Matt and Chelsea move to San Francisco. Dr. Brett Cooper visits Kimberly's grave and promises to get even with Michael. He takes a job at Wilshire Memorial and moves into Matt's old apartment.

Brett learns that Mrs. Shaw tried to shoot Michael. He threatens to turn her in unless she returns to Cleveland and checks into a sanitarium. Michael and Megan catch them at the airport, but Michael agrees to Brett's plan. Mrs. Shaw escapes during a stopover and returns to Los Angeles. She slips into an operating room and tries to attack Michael with a scalpel. Megan tackles her and is slashed in the stomach. She has complications during surgery and lapses into a coma. Brett holds a bedside vigil. Eric decides to seize control of Amanda's agency. She finally gives in and agrees to sleep with him. Taylor tells Kyle, who breaks into the hotel room and throws Eric through a glass door. He will only keep him from falling off the balcony if he says that he didn't sleep with Amanda. Lexi falls apart when she runs out of pills. Brett agrees to refill her prescription. Craig and Billy bond on a bowling date with Sam and Jennifer. Billy asks Craig to be his best man. Craig loses Jennifer by sle

Kyle experiences nightmares about Christine, a lover who died in the Gulf War. Taylor snoops through Kyle's foot locker after Amanda asks her about Christine. Peter warns Kyle that Amanda is trying to have herself transferred to a rehab hospital. Kyle and Amanda get engaged. Taylor calls Nick in search of information about Christine, but he refuses to help. Bob threatens to go to the police unless Peter breaks up with Lexi. Peter pretends that he still has a thing for Amanda, and Lexi slaps him. Lexi manipulates Bob into clearing her of all charges, then reveals that she and Peter had only pretended to break up. They pay off Bob. Lexi's father arrives, and instantly dislikes Peter. Megan and Jen are wary of Michael's relationship with Amber. Amber breaks up with Michael after he insults her, but later agrees to move in with him.

Christine tells Kyle to move on with his life. She declines Amanda's wedding invitation, but later has a change of heart and comes to Los Angeles. Peter shows up in Sterling's hotel room with a tape recorder in the hopes of proving that Sterling is to blame for their rift. Lexi's father collapses during the argument and later dies. Megan is jealous when Brett comforts Lexi. A gunshot victim named Spider convinces Michael that he can get rich by starting a clinic in the man's neighborhood. Michael persuades his family to invest money in the venture. Billy continues to pose as Craig, but Jennifer is forced to tell Mia the ""truth"" after she catches Billy with Samantha.

Kyle does not show for the wedding after discovering a suicide note from Christine. He finds her car parked on the railroad tracks, and pulls her to safety. Amanda postpones the ceremony until Kyle has resolved the situation. Christine receives a special visit from Nick in the hospital. Lexi refuses to speak to Peter after hearing the recording of his argument with her father. Spider agrees to provide Michael with ""protection"" if he treats his injured friends without reporting them to the authorities. Jennifer offers Billy a sympathetic ear, and advises Sam to escalate her flirtation with Jeff.

Michael attends a college reunion in Chicago, where he runs into Jane. They seem to instantly renew their connection, but Jane tells him that she is to marry in a few days. Michael later learns that this is not true, and the two reminisce about the good times in their relationship. After a night of passion, Jane follows Michael back to Los Angeles in the hopes of rekindling their romance. Megan and Brett struggle to find time together in the face of Lexi's interference. Peter turns to a shady former patient for assistance after his attempts to woo Amanda prove an unqualified failure. Billy and Samantha vie for an Italian client's in-house advertising position. Jennifer mistakenly believes that Billy plans to leave the country without her. Billy and Jen get engaged--in front of Sam. Samantha launches a plan after overhearing Billy and Amanda discuss Alison's renewed alcohol problem and failed professional life.

Michael has Taylor shipped away in an ambulance, but she and Jane later discover each other. Jane is furious to learn of the pregnancy, and rents an apartment at the complex. Amanda recruits her for a job at AWA. Jane reconciles with Michael, and agrees to help care for Taylor. Taylor decides that she isn't fit to be a mother and asks Jane and Michael to adopt her baby. Peter is uneasy about the plot he arranged with Mr. Beck. He is unable to call it off, and Amanda is kidnapped. Samantha convinces Jeff to send Billy a fax in which ""Alison"" expresses her love for him. Billy claims that he only wishes to help Alison, but Jennifer fears that he still holds feelings for her. Lexi continues to taunt Megan about her marriage, and goads Brett into sleeping with her.

Kyle is jealous of the amount of time Amanda spends with the recuperating Peter. He and Ryan quarrel after Ryan mentions Kyle's concerns to Amanda. Amanda referees the dispute and gives Ryan a job at her agency. Peter, fearing that he is about to die, confesses his involvement in the kidnapping to Dr. Visconti. Lexi seduces Dr. Visconti to pry the truth from him. Michael follows Megan to her parents' home, and is stunned to find that the family is wealthy. Megan discovers that her father suffered a crippling stroke years ago, which Mrs. Lewis claims is the result of the strain of learning that Megan was a prostitute. Michael discovers that Megan's mother is lying to force Megan to stay home out of guilt. Jane takes a job at AWA. She is asked to persuade Alex--now a famous designer--to bring his business to the agency.

Lexi does not tell Amanda about the kidnapping because she doesn't want Peter to go to prison. Singer Eve Cleary is struck by a car outside outside the club after Kyle fires her. Peter assists in her recuperation, and Amanda convinces Kyle to give Eve another chance. Amanda is annoyed when Kyle continues to obsess over the missing journal page. Amanda has a clandestine meeting with Eve outside the club. She tells her that she once told a friend their secret, but will not make this mistake again. Amanda fires Ryan because she suspects that he leaked information to Lexi's agency. She welcomes him back after he proves that her assistant was the actual spy. Megan tells Ryan about her past and explains her reluctance to open up to him. Michael pretends to go out of town, then keeps Jane and Alex under surveillance. Jane fears that Michael is having an affair with Megan, but resists Alex's persistent advances.

Kyle becomes suspicious of Eve after she angrily rejects a record deal. Eve visits the courthouse. Peter catches her in a lie about her whereabouts, but she covers her tracks by giving him a present. He asks her to move in with him. Amanda abruptly sends Jane on a business trip to Chicago, where she works closely with Alex. Alex promises to remain professional, but he and Jane end up kissing passionately. Peter tries to distract Michael by throwing a bachelor party. The evening is spoiled by the distraught stripper, who whines about her ex-boyfriend. Peter drugs Michael to stop him from going to Chicago. Megan and Ryan behave coldly to each other. Ryan ignores his brother's warning and sleeps with Lexi.

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

Peter travels to Oakhurst to investigate Eve's past. He has a run-in with Kent's parents and the town sheriff, but an old friend of Eve's tells him the truth about the murder case. Eve comes looking for Peter, and he defends her from the townspeople's attacks. Ryan intercepts a drug delivery for Kyle and pushes his brother into flushing the pills. Kyle, Eve and Peter separately accuse Amanda of being a tyrant. Overcome with guilt, she takes Kyle back for some reason. Megan conceals the fact that a computer program pinpointed Ryan as Lexi's perfect mate. Ryan discovers that Megan has her own 800 number. He confronts her with allegations of prostitution, so she comes clean about Lexi's search for Mr. Right. Temporary chief-of-staff Michael promotes Amy to head nurse. A wacko nurse whom Michael had just met claims that he promised her the job in exchange for sex. Peter suspends Michael.

Kyle flies into a drug-induced rage and burns down his and Amanda's dream house. He tells Amanda that he is sterile and disappears. Ryan finds him drinking at the basketball courts and brings him home. Kyle injures himself while Amanda is out, and Peter recommends that he check into a rehab center. Amanda fires Rikki G and the band, prompting a furious Eve to quit. Rikki G tries to rape Amanda, but Peter comes to the rescue. Audrey's sexual harassment allegations are part of a scam engineered by Michael. She is to recant her story in exchange for a share of his winnings in a countersuit against the hospital. Audrey refuses to follow through until Michael agrees to a sexual relationship. She secretly videotapes their encounters. Lexi pursues Jane and Ryan to a Mexican resort, where they are trying to land an account. Jane sprains her ankle and returns home to reunite with the ""innocent"" Michael. Lexi impulsively kisses Ryan, but apologizes for acting rashly.

Ryan visits with his daughter; but Terry O'Brien, her aunt and legal guardian, cuts short their time together. Ryan heads home and immediately tells Megan that he slept with Lexi in Mexico. He purposely drives her away, and also alienates Lexi with his bizarre behavior. Megan confronts Lexi and quits her job. Michael agrees to team up with Lexi after his ploy to win back Megan fails. Ryan vanishes for several days before Kyle finds him at the blacktop courts. Ryan reveals that he was married as an 18-year-old. His family was in a car accident; he pulled his infant daughter to safety, but the car erupted in flames and killed his wife. He is still wracked with guilt, and has kept a promise to Sarah by never remarrying. The parole board plans to send Eve back to prison for fraternizing with Jackie, but Amanda comes to her rescue. Peter and Eve fly to Texas to consider a bid on his father's old land. He returns home to defend himself against Dr. Shulman's attacks, but winds up resigning. E