The most popular/hated girl in school is dead. Jo's dickhead father, Kyle Masterson, Police Chief of Green Grove, suspects Danny Desai and really won't let it go in a way that is borderline unprofessional. Danny won't use Lacey as an alibi, and she isn't eager to be one for him. Danny says the police have no real evidence to use against him, but a quick camera pan to a photo of his dead aunt wearing the same necklace that was taken off of Regina's dead body and is now in Danny's possession reveals otherwise.

For character development or comedy or something, we meet this new character Phoebe. Just like the heads of the Hydra, when one bitch is cut down, two new ones emerge. Phoebe has taken a sudden interest in the attention that comes with appearing to be friends with Regina. Lacey is aggravated, as she seems to be the only person who cared for this super mean person who is now dead.

Police Chief Kyle Masterson is very suspicious of Danny, and even more so as he interviews friends/acquaintances of Regina. We learn that Regina started wearing the necklace six or seven months ago and no one knows where it came from. They are focusing really heavily on this necklace, because it's the only thing missing from the crime scene. Chief Masterson does not want his daughter hanging out with Danny, but Jo wants to prove his innocence.

Denise Richards, Danny's mom, meets with Jo's mom Tess. She asks her if there's any way they could smooth things over with Chief Masterson “like last time.” Denise Richards also visits Principal Ting, who awkwardly kisses her. They are in a comedic relationship that I don't care about.

Lacey's crazy boyfriend, who is clearly the murderer, “Archie” says a snide comment to Danny in the lunchroom about prison. They get into a fistfight that neither Jo nor Lacey is pleased to see. Jo loses faith in Danny because of it, and Danny isn't even sure why she's mad. He invites Jo, Tess, and Rico over to dinner with him and his mom.

Danny finds Lacey at their childhood clubhouse in the woods. We learn that Jo has kept the clubhouse from going to pot. Meanwhile, Denise Richards visits Chief Masterson to make a plea for her son's innocence but makes everything worse when she clearly lies about having seen the necklace before.

As Phoebe hosts a big comedic flop of a grief counseling session, the Mastersons visit the Desais for dinner, and Police Chief Kyle Masterson joins his wife and daughter. He is rude to Danny the entire time, and snoops through his room as much as possible while on a fake bathroom trip. Danny has removed a photo with his aunt and the necklace in it from the buffet table, but not before Tess Masterson sees it. She later notices that it's missing. You have to be this observant when your husband is a dickhead police chief.

We learn that Denise Richards asked Tess if Jo would be a character witness for Danny in his trial when he was eleven and Tess declined. Later that night, on a swingset, Jo tells Danny they need to find proof that someone else killed Regina and the investigation is sort of back on. What happened to Rico?

That night, Danny visits the fort and burns the photos of his aunt wearing the necklace in the fire pit. He places the necklace on a rock with the intent of smashing it with another rock (he's at an eleven-year old reading level, he's not a genius!), but the necklace has some power over him that stops him from doing it. We are exactly where we started.