Jo hires Emily, a charming Englishwoman, as a nanny to look after baby son, Austin, while she organizes her departure from L.A. But Emily is not all as she seems. Alison returns from Twin Oaks, but doesn't lose her connection to Terry and ignores Billy's offer of help. Meanwhile, Peter surprises Amanda with the employment of Caitlin Mills, an equally ruthless efficiency expert who decides to improve D&D's efficiency by firing everyone she dislikes, except for Billy whom she finds attractive and Alison, for Caitlin too is a recovering alcoholic. Also, Michael heats up his personal cold war with Peter after he finds out about illegal kickbacks that Peter is receiving from a long closed account.