Laurel sits in the Interview room. When her father comes in, she tells him that Sebastian Blood is trying to frame her. He doesn't believe her, because those are his pills she was taking. And she's tested positive for opiates. The DUI from before and the paranoia about Blood go together in his mind. He also claims that she looks awful, but she doesn't, really. She begs him to believe her, but he doesn't. She probably should have actually said something about Blood. She's just babbling incoherently, which is not the best way to convince people of how rational you are. When Quentin leaves the interview room, Oliver's there, offering to take her home.
Island. Sara has the radio, just outside the plane. I think she should probably have taken it farther away. She's talking to Ivo, who swears he wasn't really going to kill her. He blathers on about how she rescued him, not the other way around. He asks her to save him again. He's acting much more erratic than before, but I don't think that's a good sign. Doesn't his ship still have giant guns pointed right at the plane?
Hospital! Roy and Sin look in on the Slasher. He's very injured, but he's got a shot. The doctor praises Roy for doing a good thing, but he's talking about the call to the ambulance, not the near-fatal beating that preceded it. Thea comes in and learns what happened. She wants to help Roy, and he just says she can't. Then he leaves. Wotta jerk. He is now sad, but there's no reason he couldn't just explain things.
Laurel's apartment. Oliver is helping clean up, including this picture of her and Sara. Oliver delivers kind of an incoherent lecture about letting people help you. She would like a glass of water, and as soon as Oliver leaves the room, he gets whomped on the head. A skull-masked Blood says to leave him, because he's unimportant. Then he says, "Hello, Laurel."
Oliver regains consciousness in the apartment, and he's instantly awake. On his way out, he sees that they wrote "TELL THE ARROW STARLING CANNERY" on the wall. Convenient! And see how nice it is to just call him "The Arrow"?
Laurel is in a big space with pipes and stuff. The cannery looks a lot like a standard warehouse set! Sebastian is wearing the skull mask, and he vanishes as she talks to him. He tells her that masks give you authority, like a god. It's your standard meaningless portentous nonsense. He grabs her and tells her she knows nothing. An arrow whizzes by! Oliver warns Blood to let her go, or he'll "end" him. Blood pulls a gun, but it's shot out of his hand. Oliver beats him up pretty well, and the fight moves down a hallway. Oliver loses track of him and gets tackled from behind, which is what he deserves for not paying attention. He stabs an arrow in to Blood's leg. Blood stands, and then -- Laurel shoots him in the back, several times. And then a couple more times after he falls. She has Oliver take off his mask, and it's Officer Daily, not Blood. Well, sure. There's no reason to have the same person under the mask all the time, especially when you have a killer vigilante coming.