After being throw out, Stacey decides to go to Alex's. Kirkland threatens to fire Ned and tells him to straighten out his life. Eric takes Ned to a family gathering so Ned can tell Stacey his true feelings.
After throwing Stacey out, Ned goes nuts turning her room into a game room. Stacey moves in with Alex and she gets a lawyer who tells Ned that Stacey is legally entitled to her room. After an incident with Ned, Alex decides to break up Stacey. She then goes back and Ned doesn't welcome her with open arms.
Ned and Eric are going to Nepal but Eric backs out because of his fear of the unknown. He spends his time cowering. Amanda who has a friend coming to see, hires someone to take care of the muffin store. But Stacey feels insulted that she doesn't trust her. So she puts Stacey in charge and things go to hell.