About a month after the events of the last episode, Meredith and Derek wake up in bed both excited for the day, but for different reasons: he's happy that it's the last day of her first trimester so now she can tell Cristina she's pregnant, while she's happy because the judge is coming back with a ruling in their case that will either make them rich or send the case to trial. As it turns out, they win, to the tune of $15 million dollars each. Callie is the only one who is excited about it, and she strong-arms everyone into having a celebratory dinner that the rest of them feel a little gross about attending.
Cristina and Owen are having lots of sex while Owen still continues to dodge questions about What It Means. The good thing is, at least for now, they seem really happy. Mere still isn't ready to tell Cristina that she's pregnant, but Cristina admits to Derek that she knows, and she's sure Mere knows she knows, but that Mere hasn't told her because she isn't ready to be happy about it yet. Cristina assures Derek that she'll do it in her own time. Overall, things are pretty good for Derek -- his wrist seems to be healed, and Callie is ready for him to test it out. She does this through ping pong, which she makes him play for 8 hours since the movement is similar to that which he would be doing in a long surgery. Since Smash is on his service, he's Derek's opponent and lets him win every game. Derek calls him on it and is able to goad him into playing for real. The others all gradually find out about it and watch from outside the conference room; Princess and Alex even make a $1,000 bet on the outcome. Oh yes, because they are friends now and she's sleeping at his house on the floor after their drinking sessions. Smash actually wins the game, but Princess uses her winnings to buy a couch and a six-pack for Alex which she insists is totally just a nice thing and not a girlfriend-y thing since she thinks of him like a brother. So they'll be doing it soon.
Speaking of doing it, Jackson and Stephanie are still hooking up but trying to keep it secret. Of course they aren't as discreet as they think and Leah figures it out; Jackson realizes that it's only a matter of time before everyone knows so he goes and tells April about it so that she will hear it from him first. She's floored, and she admits that she misses him and misses their friendship. He tells her that they can be friends but she's not ready since she still all she wants to do is kiss him every time she's near him.
Mere and Heather have a patient with a strange mass in her abdomen, and Mere offers Richard the chance to scrub in with them on the surgery since he still hasn't gone back to operating since Adele died. Catherine keeps trying to get a hold of him but he's avoiding her as best he can until she comes to the hospital to talk to him face-to-face. He winds up yelling at her because of how guilty he feels that they were having a relationship while Adele was dying, and then takes Mere up on the surgery to get away from her. The mass turns out to be a giant hairball (oh yes) which Mere saves for Richard's secret collection of surgical oddities and after they talk, he winds up going to find Catherine after all. She tells him that she just wants to be there for him as he grieves, and finally he lets her take his hand.
Mere, Derek, Cristina, Arizona and Callie do wind up having dinner, but no one other than Callie really wants to be there. Arizona tells them about her day, where she watched over Jackson performing a five-hour surgery she disagreed with, but which was ultimately successful. Callie points out how awesome it is that Arizona is now able to stand for five hours straight. She goes on to remind them that Derek's hand seems to be fixed and Cristina is happy enough with Owen to be sexting him during the meal, and that while they all miss Mark and Lexie terribly, those are good things that they should be celebrating. It really is quite touching, and everyone finally agrees to clink their champagne glasses. Everyone except Mere, who happily announces to everyone that she is pregnant. The mood is so jolly that Derek even gives Owen a call -- earlier that day they had a tense conversation where Derek blamed Owen for the crash, but Cristina confronted him about it and said Derek had to forgive him and move on -- and invites him to join them. Owen appreciates the gesture but tells them all to have a good time. After he hangs up, he then walks in to a meeting regarding the settlement where he learns that the insurance company found a loophole and is refusing to pay -- that means the hospital will have to pay, but since they don't have that kind of money, they will have to declare bankruptcy and close their doors.
Day breaks at the mountaintop McMansion, and Derek and Meredith are cuddling in bed; both are excited for the day though it turns out they are for totally different reasons. Derek is excited that it's the last day of Mere's first trimester and he thinks she'll go ahead and tell Cristina now. Mere was excited because the judge might have a decision in the plane crash case, until Derek came along and rained on her parade. He dismisses that idea easily and assures her that the case is going to go to trial and it will be months, and gets awfully frustrated when Mere insists on keeping an open mind about the outcome. He orders her to focus on the baby, relax, enjoy herself, and to tell Cristina she's pregnant. Yes, Derek, a frustrated order is what is sure to get Mere to finally relax. She VOs that the big day is here, test results are back, and that's good because then you can move on. "Whatever that means." All of the doctors here have particular strengths, but "moving on" isn't really one of them... for anybody.
Owen sneaks into Alex's house with two coffees and sees a slender brunette with curly hair crouched in front of one of the cupboards wearing only a t-shirt. He tiptoes up and then slides his hands around her waist, moving them north until he realizes that the chest in his hands does not belong to his ex-wife but in fact to one of his interns. Princess freaks out as he apologizes profusely and then runs out of the room.
Cristina, sitting in bed with her coffee, finds this to be the funniest thing she's ever heard. Owen's still mortified but he giggles as he crawls into bed next to her. So, the divorce is going well, it seems.
Once she's fully dressed, Princess recounts her humiliation to Alex because apparently they are friends now and she spends the night at the house after their platonic drinking sessions. She's (rightly) appalled that he has no glasses in the house -- nor, I'm guessing, does he have spoons and bowls since he's eating cereal from the box. She also has to sleep on the living room floor because he has no furniture, and she says she's not drinking with him again until he gets a couch. She leaves as he claims that she can just drink out of the faucet, and illustrates how it works. So Alex is now a homeowner who is too mature to sleep with interns, but other than that he's regressed to living like a frat boy.
At the hospital, Jackson walks up to Richard with a tin of cookies and a note from his mom that he's been ordered to read out loud to make sure Richard hears it. Richard is just embarrassed and tries to put Jackson off but Jackson forges ahead and reads that Catherine's in town for a surgery but not sure if Richard got any of her messages. She's worried about him, and wants to make sure he's okay. Richard is embarrassed, but tells Jackson to pass on that he's fine and then manages to politely decline the cookies.