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Deconstructed: Steve's denial of being friends with Pete has caused others to see Steve as a freaky loner who doesn't value friendship of others. As a result, Pete abandons Steve, hoping to find a friend who admits they are a friend.
Played For Drama: Steve is being questioned by a judge whether or not he is friends with Pete, whom both were involved in an (accidental) shooting in the bank. To get himself out of the situation, Steve denies being friends with Pete, leaving Pete to be sentenced to prison for the rest of his life.
Just because I've given you a link to Friendship Denial doesn't mean we're friends. You got that?