In the Great Northern Hotel, Cooper tries to convince Audrey not to pursue him, reasoning that it's better for them to remain friends. The next morning, Harry and Doc Hayward learn more about Jacques Renault's bird, trying to make it imitate a human voice. Cooper leaves his tape recorder in the room in case Waldo talks, while the others piece together the evidence that the piece of plastic found in Laura's stomach is a piece of a casino chip from One-Eyed Jack's. While the casino in Canada is outside of the US police jurisdiction, nothing is stopping the Bookhouse Boys from going there.
Leo Johnson spots Bobby going into his house to meet Shelly and brings out a sniper rifle to shoot him. Shelly confides in her lover that she shot her husband, and Bobby proclaims that he will handle everything. The police scanner in Leo's car catches Lucy's transmission about feeding the bird, and he realizes the police have been to Jacques' cabin and abandons his plan, driving away in a hurry.
Maddy, James, and Donna listen to Laura's tape discovered last night, where she talks to Dr. Jacoby about her cocaine addiction, and find out that one of the tapes is missing and is probably in the doctor's possession. They make a plan to break into his office that night and decide to use Laura's recordings to lure him out. Meanwhile, Audrey is working at her father's perfume boutique, where she displays her lack of work ethic. She gets into the manager's office and hides in the closet, where she overhears a conversation about her colleague being offered to work at One-Eyed Jack's. As they leave, Audrey takes the manager's notebook and finds records of Ronette Pulaski's shift at the casino.
Hank's first shift as a waiter at the diner begins, and he hears about Big Ed helping Norma out while he was in prison. Harry reminds him about his parole conditions, and he and Cooper stay for a cup of coffee, meanwhile, Audrey asks her co-worker for Black Rose's number.
Harry questions Josie about her being at the Timber Falls motel, and she shows him the photos of Ben and Catherine going in a room and tells him about the "accident" that's going to happen at the sawmill. Later, Cooper meets the sheriff and Big Ed to head out to the casino, and Harry shares his worries with the federal agent who decides to help Josie after their sting. Jacques' myne bird starts talking until it's shot from outside of the police station by Leo. Cooper recovers the message that implicates Leo in the crime.
Back at the Palmers' house, Maddy sneaks down the stairs with a paper bag to meet with James and Donna. Maddy fails to notice Leland, who is sitting wide awake in the dark of the living room, and he watches her as she leaves the house.
At One-Eyed Jack's, Cooper and Ed start gambling to get deeper into the establishment's secrets, while Ben and Jerry take their new investors there for a night of fun, and Audrey is brought in for a shift where her cover is quickly blown by Blackie, but she still manages to impress the manager with her skilled tongue.
Maddy arrives at the rendezvous spot at the gazebo in Easter Park disguised as Laura, and James becomes awe-struck by her close resemblance to her cousin. She and her friends call Dr. Jacoby who calls their bluff and takes the videotape they left at his door. But as soon as he sees "Laura" on the tape, Jacoby goes to meet her at the specified location while Donna and James break into his office. Bobby spies on the two and puts a sealed package full of drugs into James' bike's gas tank in an attempt to frame him.
Back in the gazebo, Maddy is waiting for Dr. Jacoby, but someone is watching her...
Tropes:
- Better as Friends: Cooper convinces Audrey that they shouldn't overstep their boundaries and engage in a romance.
- Dead Person Impersonation: Maddie uses her Strong Family Resemblance to Laura in order to lure Jacoby out of his office.
- Frame-Up: Bobby puts drugs into James' bike' gas tank to frame him as a drug dealer.
- Sarcastic Confession: When Cooper and Ed stake out One-Eyed Jack's, Blackie immediately pegs Ed (in wig and pornstache) as a cop. Cooper cheerfully admits he's the cop.
- Shout-Out: Audrey's false name for her stint at One-Eyed Jack's is Hester Prynne.
- Maddie's emergence in disguise as Laura is another nod to Vertigo (in addition to her name).
