Daniel's at his art table in his apartment when Lily comes to the door. She wants to talk about last night. Daniel says it's ok, he understands that she changed her mind. Lily wants him to understand what happened.

Nick approaches Deacon adnd asks why him and Phylis are sharing a table for a two. What's it to you? Phylis and I are friends, Nick says. What the hell's going on?

At Gloworm, Gloria is reading the newspaper, which says the police are stymied by Diane's murder. Phylis comes to the bar and tells her she is doing a big story for RS. Phylis asks to see Deacon's timecard for August 1. Gloria clues in that Diane was murdered that day and can't believe Phylis thinks he had something to do with it. Phylis thinks that her “mixologist” could have been the murderer.

Sam is at Vicki's door asking about her room for rent. Vicki doesn't have a room and suggests that someone is playing a practical joke on him. Well then the joker is your father, Sam says.

At CLs, Adam's on his laptop when Noah comes in. You lied about the memory card, Noah says. There's proof that will get Mom off and you aren't submitted it. What did you do with it? I ate it, Adam says, with a side of fava beans and a nice bottle of Chianti. The only one responsible for Sharon being behind bars is Sharon.

Avery arrives at the prison and notices that Sharon's mood has improved. What changed, she asks.

Victor is reading the paper at the ranch. He flashes back to being at the park. He is looking at Diane's body - dead in the water. The doorbell rings and it is Ronan and his staff. They have a search warrant for Victor's place. Victor suggests they focus their efforts elsewhere. Ronan doesn't tell him how to run a multi-million dollar business, so why would he let Victor tell him how to run a murder investigation. Because you're doing a lousy job, Victor scowls.

Noah doesn't get how Adam blames Sharon for her situation, even though she went to Hawaii to prove him innocent. Adam asks Noah why he hasn't drive to the prison to see her or wasn't in the courtroom when she was sentenced. Adam's been there for her every step of the way. So that's why you dumped her at the alter, Noah asks. Adam wishes Sharon well and wants Noah to pass that message on to her, if he ever goes to see her.

Sharon tells Avery that Victor came to see her. Lots of people are supporting her, like Sam. Sharon says she has tried to tell him to get some other interests. Avery thinks Sam's not going anywhere.

Victor reads the search warrant, they are looking for a pair of shoes. Ronan has a receipt from Fenmore's for a pair of shoes Victor purchased. Victor says he never wore them, he didn't like them. Ronan doesn't believe him.

Lily explains to Daniel that her and Cane had a “thing” where they would get a room at the club. It brought back memories for Lily and that's why she couldn't do it. Daniel understands that she will always love Cane. Lily says it's not that, she will always have memories. But she is ready to move on. She's sorry for what happened. Daniel's cool with it all.

Gloria accuses Phylis of slander – regarding Deacon AND his employer. Shame on you for pegging an innocent man for murder. Leave Deacon alone, Gloria wars. Not until I discredit him, Phylis says to herself.

Deacon tells Nick that Phylis and him have reconnected, due to the tradegy of Diane's. Cut the act, Nick says. After what you did to wreck my Mother's sobriety, I don't think you have a compassionate bone in your body. Deacon says that Nick and his Dad treated Diane horribly and he thinks one of them killed her. Nick says that he was with Phylis the whole night that Diane was murdered.

The police are almost finished searching the ranch house. Victor tells Ronan that he is going to call his superior and say he is harassing him. Ronan shows Victor a photo that was taken just hours before the murder, and Victor is wearing those shoes. Why don't you tell me what happened after it was taken.

Daniel sits Lily down on the couch. He feels lucky and blessed to be around her. He relaizes that when they were married he messed up but she forgave him and now they are closer than ever. No matter how often she freaks out about Cane, he will be there to get her back on track. If she's happy, he's happy.
She wraps her arms around him and they share a passionate kiss.

Vicki tells Sam that he probably knows that she is related to Adam. Vicki knows that Sharon will be in jail for a long time, is Sam planning to wait for her? He has never given up very easily. Vicki offers him the furnished apartment. He doesn't want to put her out. Vicki would be happy to have a tenant to use as an excuse to avoid moving in with her sister.

Sharon wants to know what ideas Avery has now that Adam's not going to work out. She will have some ideas soon, but is evasive when Sharon asks when. Avery leaves, and there's Adam – Sharon's next visitor.

Nick's at CLs and Noah tells him how Adam slammed him for not going to the slammer to see his Ma. Nick tell him not to worry about it. Noah doesn't know what to say to her, Nick tells him that showing up is enough. Noah wonders why Nick seems down. Did something happen?

Phylis is alone at RS, cooking up an article discrediting Deacon, when the man himself shows up. Gloria told him that she was nosing around for his timecard. Gloria is his alibi to prove he wasn't in the park that night. But you were there, Phylis says. And so where you, Deacon says. He tells Phylis that he had a chat with Nick, who told him he was with Phylis all night. Deacon knows Phylis lying, so that means Nick is lying too. Phylis looks worried.

Cue the music, as we enjoy a romantic montage of Daniel and Lily getting it on.

Victor is not impressed by the photo, it could be doctored. Ronan asks him where he was the night Diane was murdered. He was with me, says Vicki who has just arrived at the ranch. Ronan laughs, why am I just hearing about this. Vicki was embarrassed that she needed her Daddy to hold her hand because her husband left her. Victor promptly kicks Ronan out. Vicki starts babbling about Sam coming by. Victor tells her to stop avoiding the subject, neither of them have anything to hide, right?

Deacon tells Phylis that he hasn't gone to the police with his suspicions about her because they have a connection. But Nick, that's a whole different story.

Nick is still convincing Noah to go see his Mom, and to working on forgiving her too. She loves him and Nick hopes that if he ever got in hot water that Noah would forgive him too. Like you'd ever do anything that would put you in prison. Noah's phone rings, and as he steps away Nick flashes back to receiving the phone call with his voicemail recording.

Sharon asks Adam what he is doing there. Her lawyer has been asking questions and he thought she might want to ask them herself. She knows he can't walk away from him. He says he is over her. No you're not, you've just replaced love with hate. She knows he's mad about Sam. She's not going to make any excuses. That's something that just happened, she says, but they are just friends now. Cue Sam, who arrives in the visiting room and asks Sharon if she is ok.

Daniel and Lily are snuggling. Daniel wonders if she wants some Chinese food. He checks in with Lily to see if she feels alright about what just happened. Yes, it felt right to her too.

Ronan's at Gloworm where Gloria is talking about the newspaper article being a tactic to flush out the murderer. He spies Heather (!!!) taking a seat across the room and goes over to her table. She looks uncomfortable seeing him there.

Adam tells Sam that he blew it. Sharon was just trying to convince me that you are out of her life. I'd tell you to go to hell, Adam says to her, but you're already there. She's all yours, Adam says to Sam as he walks out.

Phylis tells Deacon to leave Nick out of it. Deacon wants to table the discussion about Nick until tomorrow. Let's have dinner, he say. Wear something sexy. Phylis looks haggard and worried as he leaves. She goes to her computer and says she can't run the risk of antagonizing Deacon with her article. She has to protect Nick. She hits the delete key.

Vicki knows that her and Victor were both alone that night and that's a weak alibi. You don't have to protect me, Victor says. They share “I love yous” - no matter what.


NEXT: Phylis asks Nick what's up with him and Ashley. Paul tells Deacon that if he knows anything at all, he should speak up now. Ronan stops at Ashley and Nick's table at Gloworm. Nicholas and I have a confession to make, she says.