Quick throwaway scene where Claire informs Kate that her friends, Gabby and Peter Thompson, are waiting in her office. When she pops in, Kate hugs the couple, and they all express amazement that they haven't seen each other since the wedding eight months ago. There's much giggling and reminiscing, and then the three of them all sit down, so Peter and Gabby, quite pleasantly and amiably, inform Kate that the marriage is over. Kate is, understandably, a little shocked, but Peter pleasantly and amiably assures her that it's okay and that it's no one's fault, that the chemistry just ran out of gas. Gabby pleasantly and amiably announces that the two of them have had barely any sex since the wedding. Don't worry, though; there's no animosity! And this is mutual! Kate says, uncertainly, that that sounds healthy. Still not cluing in as to what the divorcing couple might be doing in a divorce lawyer's office, Kate needs the Thompsons to tell her they want her to handle their case -- both sides, since they can't afford two lawyers. But the divorce should be a breeze, since they're just splitting things up equally. Kate's rather reluctant, and Gabby says that since Kate's their friend, they trust her. "We'll do whatever you say," says Peter.
Why would Kate go to her dad for advice? She's rather upset when he tells her it'll be fine, despite her claims that it would be a conflict of interest, as if that's been much of a problem for her before. Fox Daddy says that the case seems simple enough and that she'd really just be a consulting attorney. She's worried about taking sides, so as Nick just happens to be barging in, Jerrold tells her to split the case with him; Nick takes the husband, Kate takes the wife. In other words, "taking sides." Kate says that sounds doable, but informs her dad that she's only billing the couple for one attorney, since that's all they can afford. Jerrold protests, and Nick drags out an unfunny bit in which his sycophantic tendencies have him agreeing to everything Jerrold says without even knowing what he's talking about.
Finally, a new bar. Or some sort of outdoor patio restaurant, where Laurel recaps her date with Peachy. Dinner was nice (risotto for her, osso buco for him), and Peachy was very charming. And after? "We went back to my place…" "And?" "And I tore his clothes off," she says. Much G-rated giggling from Darren Star's network heroines. Kate seems a little surprised, but happy -- at least until Laurel admits that she doesn't see herself in a long-term relationship with Peachy, what with him being a lowly peach vendor at a farmer's market. Somehow, Kate's protests that they're his own damn peaches fail to sway Laurel, who calls him a farmer. "I think I have to be with a professional," she says. Well, he's not an amateur peach vendor. Laurel's no snob. The dude doesn't have to be a doctor or anything. But he should be a little more creative. Kate laughingly promises to try to come up with something.
And here comes Michael to be all disarmingly charming. He spots Kate and saunters over, giving Laurel the chance to ogle him as he admits that he's out buying some "ridiculously overpriced sushi," and he and Laurel flirt over sushi takeout, of all things, and Michael figures out that this is Kate's other side project and takes it upon himself to invite Laurel to coffee. She's more than happy to accept, and turns to Kate: "Consigliere, can we arrange this on our own? I'd hate to violate protocol." Heh). After Michael walks out, Laurel calls him "delicious" and jokingly asks if Kate's been holding out on her. "Of course not," says Kate, lying through her teeth. Commercials.