In an interrogation room, Lupo is yelling at Cahill for making me type the word "pants" so many times that it doesn't look like a real word anymore. Oh, wait. Lupo actually yells that Cahill had motive, means, et cetera. Green backs Lupo's play while, out in the observation room, Rachel says Cahill would never hurt anyone. Van Buren's out of patience and tells her she doesn't care what Rachel does or with whom, but it's a murder case and Rachel needs to fess up. Rachel bites her lip, then admits to the affair, saying they were so careful, to the point of wearing disguises and whatnot. Van Buren still isn't clear on why Rachel even had Cahill's pants, and Rachel is forced to explain that she'd gotten lipstick on them. Van Buren: "[Blank stare.]" Really, Anita? You really think she just...fumbled a tube of Rum Raisin, and it randomly fell on Cahill's leg or something? Blow job, Lieutenant. Keep up. Rachel prompts, "On the fly?" Yeah, we got it. Gah, show. Savings Mart security came around, and Rachel lied that the pants were hers to save their jobs. She warned Cahill, and he took the ticket to get the pants back, but she insists that he wouldn't kill anyone.
Fuller appears just then, holding a shopping bag aloft. Van Buren rolls her eyes all, "Get a hobby, old man, damn," and isn't appeased when it turns out that Fuller has brought them the pants. He proudly points to a spot of blood on one of the cuffs, saying it's probably Lily Yee's. He also admits that he found the pants in a closet in Cahill's apartment, which he searched sans warrant, on the grounds that technically it's Savings Mart corporate property. Green says that it's still Cahill's home and he therefore has the expectation of privacy, so Fuller disingenuously offers to take the pants back. After a beat, Van Buren says she thinks she sees some lipstick on the fly. Fuller: "You want them? Or not?" Lupo and Green answer by going in to arrest Cahill.
Bail hearing. Cahill pleads not guilty; bail is set at a million dollars, and Cahill's lawyer hands Connie a motion to suppress before they've even left the courtroom.
In McCoy's office, Connie and Cutter discuss the problem with the legality of the search for the pants -- Fuller isn't representing the government, but, McCoy says, he's acting on behalf of a giant corporation that behaves like the government. Which isn't really the point, because the standard is whether Fuller can reasonably claim that he was acting as a private citizen and not on behalf of the police, not whether his employers are Stalinist wingnuts, but if McCoy doesn't make that comment, we can't "enjoy" the ensuing thinly veiled and rather tired rant on the likes of Wal-Mart and how they'll stop at nothing to keep prices down. Done preaching to the choir, McCoy then tells us that, without the pants, the DA's office really has no case.