- Wealthy businessman Douglas Picard is out to take Fantasy Island away from Roarke; and florist Rebecca Walters enlists the assistance of a genie to find her perfect husband.
- "The Challenge": Douglas Picard is a multimillionaire business tycoon known for his ruthless acquisition tactics, which have never failed him. He gets whatever he wants -- and now he wants Fantasy Island. To back up his claim, he produces a sixteenth-century deed to the island that he discovered in a Madrid villa he recently purchased. Roarke calmly informs Picard that he won't simply turn his island over without a fight; so Picard suggests a three-part test of the mind, body, and spirit. The first test is that of the mind, in the form of a life-size chess game. Roarke wins this after a well-fought contest. The second test, of the body, comes with a twist. Roarke and Picard are to arm-wrestle (of all things) -- but whichever one of them is bested by the other will find himself bitten by a poisonous spider. At first Picard seems to have Roarke down; then Roarke rallies and has Picard's hand over his spider. Picard refuses to give up, so Roarke yields, conceding the second test and evening the competition. A worried Eunice, Picard's sister, can't understand why Roarke would show that kind of generosity. She knows her brother wouldn't have done it in Roarke's place. But Roarke senses something about Eunice and draws her out, learning that Eunice has been married and divorced twice to men who wanted her only for her money. For this reason she keeps to herself and hides in nondescript clothing and oversized eyeglasses. Roarke transforms her into a lovely lady and asks her to be his escort at an elegant ball; she agrees. Picard thinks he's got Roarke beat by having donated $25 million to charity -- and then he sees his sister come in on Roarke's arm, looking more radiant and beautiful than she has in a very long time, and realizes he's been bested in the third test, of the spirit. He graciously turns the ancient deed over to Roarke as a symbol of concession. "A Genie Named Joe": Rebecca Walters' fantasy sounds simple: she wants "the perfect husband", and has asked Roarke's help in finding him. Roarke takes her to an apparently deserted beach and leaves her there with Tattoo; when nothing happens, Rebecca starts to leave, at which point she and Tattoo hear a voice calling for help and soon discover a bottle...with a genie inside it! Rebecca lets him out and is granted the requisite three wishes, the first of which she promptly squanders by testing the genie to find out if he's the real thing. "Joe" -- so called by Rebecca because she can't pronounce his real name -- delivers on her wish to be riding in a Rolls-Royce, drinking champagne. Now that she's convinced, Rebecca tells Joe what she wants him to do and starts listing the attributes her perfect husband would have. Along the way Rebecca idly wishes it were a little cooler, and Joe obliges with a snowstorm. Only after a very angry Roarke confronts them and demands that Joe restore the proper climatic conditions does Rebecca realize she just wasted her second wish. When she comes to complain to Roarke that Joe doesn't seem to be doing his job helping her find that elusive perfect husband, Roarke tries to hint that she's not looking in the right place, but his words fly right over her head. Come Sunday evening, Rebecca is lamenting the failure of her fantasy to Joe, and in the midst of their conversation remembers Roarke's words and suddenly understands what he was getting at. She's fallen in love with Joe, and when she discovers the feeling is mutual, she uses her final wish to change Joe into a mortal man so that they can be married.
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