At a party in her honor, Sammy Jo embarrasses the Carringtons and reveals to Fallon that Blake is not her father; Jeff leaves the party with Claudia; Blake tells Krystle his eyesight is restored; Fallon is left unconscious after a car accident.
Fallon gives birth to a son; Alexis offers Sammy Jo $25,000 to leave Denver; Jeff and Claudia make love; Krystle accuses Alexis of killing her baby; Alexis learns Krystle and Blake are not legally married.
Upon learning he is not her true father, Fallon refuses to see Blake; Jeff falls in love with Claudia, who is caught stealing from Denver-Carrington; Fallon's baby undergoes emergency surgery; Claudia's husband and daughter are believed dead.
A blood test proves that Blake is Fallon's true father; Steven travels to Hollywood in search of his wife; Claudia learns her husband and daughter are believed to be dead; as Krystle struggles with an armed Claudia, the gun discharges.
Fannon and Jeff reconcile after Fallon hears Jeff at his father's grave site. Blake turns down Farouk Ahmed's business offer realizing he was just trying to bail his brother Rashid out of trouble. Alexis is building a reception tent for her wedding on the Carrington estate which angers Blake. Her wedding plans are threatened when Cecil Colby has a heart attack when they are in bed together. Claudia is getting deeper and deeper into a confused mental state and seems to be planning something. Farouk tells Nick Toscanni that Blake was in country during Nick's brothers ...