Emily is telling Carol the story of Rory's cotillion, but Carol and Emily would have still been friends back then, right? Richard didn't have a falling-out with the company in the first season, did he? ["The cotillion was in the second season." -- Wing Chun] Anyway, Carol stands up the second she hears the men arguing, clearly knowing just what was going on in there. "I should get my purse," she says. Floyd, Digger, and Richard storm into the room as Floyd tells Emily that they have to go. "It's too late, Jason," Carol tells her son. Richard says that he and Digger are prepared for a fight, and that they have the money for it. Floyd says that's because Richard put his pension into the business as collateral. "It's a small community, our community," Floyd says, telling Richard that endangering his future like that is reckless. Digger asks which private investigator was tailing him. Floyd says he hired the best, which is how he found out that Lorelai and Digger were dating. "That's not true," says Emily. Richard and Emily stare at Lorelai, who is still trying to catch her breath. Floyd apologizes for spoiling Digger's secret. Floyd and Carol leave. Digger tells Richard and Emily that this isn't going to happen, and runs after his parents. For the next thirty seconds, Richard, Emily and Lorelai stand in silence, with just the sound of piano in the background. Digger enters again, and Richard pulls him into the office to talk. Emily tells Lorelai that there's no need for her to stay. Lorelai says her car's blocked in. "Oh," Emily says, and then walks away. Lorelai stands alone.
Digger tells Richard that he has every right to be angry. Richard says that he certainly does, to be humiliated like this in his own home. He asks Digger how he didn't see this coming. Digger says that Floyd never shows his hand -- that he sweet-talked them on the golf course. Richard asks Digger if he's done anything illegal -- anything at all. Digger swears that he didn't; his lunch with Alex was strictly social because they're friends, and he's not stupid enough to do anything illegal, nor to think that he could get anything illegal past Richard. He says he pushes boundaries, but that he never crosses them. Richard asks how long Digger's been seeing Lorelai. "Five months," he admits. "For five months you've been lying to me," says Richard. Digger: "Yes." To Digger's credit, here, he doesn't just rat out Lorelai as the reason he's been lying about their relationship. He says it was a timing issue, and that they didn't want to complicate Richard's relationship with Digger, particularly since they didn't know if it would last, so they took the wrong path. He apologizes. Richard says Digger has a lot to be sorry about. I'm not sure why, but okay. "My damned father," Digger whispers. Digger says he should have seen this coming. Richard says he also should have. Digger says he can make this go away. He knows it has to be a bluff: "He hates giving money to lawyers." He says they'll countersue with a wrongful lawsuit, making Floyd pay: "And I will do anything to win back your trust, Richard. You've been so good to me. Please. Let me try." Richard says Digger's got his trust: "Go get him." Digger thanks Richard profusely, adding that he'll work on his golf game to get it up to snuff so that he stops embarrassing Richard around the greens. Richard chuckles. "Do that." Digger thanks him again and leaves.