Larry's younger sister Diane is in town, and allows Jack to take Diane out with her. But then Jack and Diane do not get back home until after 2 AM and Larry is furious. A miscommunication makes everyone think they did more than just go out.
At the bar, Carol tells Larry & Mr Furley about an incident with a boat on the water. They leave the bar, but the story spreads around, with the details all switched around. Soon it becomes a story about Carol breaking up with her husband.
A building inspector claims that there's a minor infraction at Jack's restaurant which gives him cause to have it closed unless Jack pays him off. The girls tell him to record the man soliciting a pay off. He calls the police and a detective comes and plays the tape, Jack leaves for a moment and the cop only hears Jack's earlier conversation with Furley about "pot" "from Mexico" that could be costly. So the police go after Furley.
Terri treats a man who is an actor on a soap opera. Later he asks her out, and she accepts. But what she doesn't know is that he prefers trashy women so the show is considering writing him off unless he appears to be respectable. After going out with him on one date, he proposes to Terri. While Janet is happy Jack is suspicious. Later he goes to Jack's restaurant with one of his girlfriends and Jack sees him.
Mr Furley knocks over the drink of another patron at the bar. The guy is a bully who insults Furley. When Jack comes to Furley's defense, the bully challenges Jack to a boxing match at the local gym. Turns out the bully is a boxing champ.
Janet & Terri make a bet that Jack cannot stay away from women for one week. Immediately the girls make him go with Mr Furley to the bar for Woman's Night. Furley meets a woman who has a friend for Jack. This causes Jack to lose the bet.
Jack's works extra hours at the restaurant after it closes, so he sleeps in the vacant apartment above his Bistro. He finds Mr. Angelino there with a woman, having an affair. One night, Janet and Terri stop by and find Jack with the woman.
Larry buys a false mustache and thinks more women will fall for his lines. When Jack sees it works, he buys a mustache. He wears it home; Terri finds his new appearance makes him look like one of her former boyfriends. Terri falls in love.
Bill, a former friend of Jack's comes to town. Jack worked with Bill as a cook in the Navy. Jack offers him a job at the Bistro since Bill is a good cook. Turns out Bill has his own devious agenda to getting a partnership in the Bistro.
Janet & Terri walk into a started conversation and hear that someone is going out of business. They assume it is Jack's Bistro. They devise a plan to give Jack money to save what they think is his losing business. Jack buys a leather coat.
Jack's girlfriend wants him to be the father of her child but not get married which Jack believes in. He then leaves. Later she calls him to talk about it and when Janet hears it, she assumes that his girlfriend is already pregnant. So she tells Jack to go there and do the right thing, which he assumes is Janet telling him it's OK to father her child.
Larry visits Jack as he is cleaning the apartment and finds a magazine quiz about sleeping with a roommate. Larry & Jack assume Janet or Terri must have filled it out. Larry suggests they all go to a mountain cabin to figure it which gal.
Jack goes to the ATM to withdraw $100. The ATM malfunctions and gives him a $1,000. Jack leaves a message for the bank to return the money on Monday. He hides the money in the couch at home, not realizing Mr Furley is taking the couch.
Janet's father is visiting. Jack tells his roommate about his new girlfriend Doreen, but is hesitant to tell what she does for a living. She is a sex therapist, but when Janet meets her, she thinks Doreen is a prostitute.
Terry thinks the only way she will get a promotion is if she has an affair with him, so Terry pretends to be married. When Dr Kenderson & his wife show up at the apartment for dinner, Jack pretends to be the husband.