Ally McBeal, a 28-year-old graduate of Harvard Law School, joins a high-power law firm. However, after reporting harassment by a senior associate to the firm partners, she is fired. When Ally bumps into Richard Fish, a former classmate, he offers her a position at his new law firm.

Ally is assigned to litigation when Fish's partner, John Cage, is faced with possible jail time and certain public humiliation. Meanwhile, Fish invites Ally to dinner with a wealthy potential client, but Ally is shocked when she realizes the dinner is a double date, not a meet-and-greet with a client.

Ally worries that Cheanie is hiding something when he doesn't kiss her on their first date. Meanwhile, Georgia asks for Ally's help with an age discrimination case. However, the case becomes awkward when the opposing litigator is the man that Ally tried to sue for sexual harassment at her old firm.

When an former law professor passes away, Ally is asked to be a pallbearer as well as giving the eulogy at the funeral.

After being arrested for aggravated assault and attempted shoplifting, Ally must go before the State Bar Review Board.

When an overweight attorney passes out from a near heart attack, Ally is forced into CPR action to save his life. When the man awakens, he thinks he's been kissed by an angel and falls for her.

Ally represents a jewish woman who needs her rabbi to grant her a spiritual release - divorce from her marriage. In so doing, Ally makes such an impression on the rabbie that she receives an unexpected offer. Meanwhile, Georgia is suddenly forced out of her law firm but lands on her feet when Richard asks her to join their firm.

Billy reveals to Ally that he's not completely over her, causing the one-time lovers to talk about altering their boundaries. Ally and Georgia try to get around a pre-nuptial agreement for a woman whose wealthy husband is seeking to divorce her for another woman; and Elaine starts the process for a sexual harassment case against the law firm by hiring Caroline Poop, who tries to win by intimidation.

When Ally is accused of being a Julie Andrews-type, she tries to shed the label by betting that she can tell a dirty joke - in front of her friends, colleagues and strangers - better than Renee. Meanwhile, attorney Caroline Poop retunrs to represent a beautiful office mail-deliverer, the subject of Elaine's recently withdrawn sexual harassment suit against Cage & Fish, who now wants to file her own charges of sexual harassment against the law firm.

Judge Whipper Cone asks Ally to represent a beautiful and fragile transvestite prostitute. Ally is so moved by his personality and situation that she goes out of her way to keep him off the streets. Meanwhile, Richard deals with the passing of his eccentric uncle and hires a gospel singer to belt out a popular, but politically incorrect song after the eulogy.

Ally's incurable romanticism and John's legal acumen make them the perfect fit in Richard's eyes to handle the case of three adults seeking a legal marriage. Georgia, feeling blue for the holidays, points out that the clients' triangle isn't very different from the one in which Ally, Georgia and Billy find themselves. Meanwhile, preparations are in full swing for the company Christmas party in which Renee joings singer Vonda Shepard in a sexy rendition of "Santa Claus is Coming To Town".

Ally, Renee and Georgia enjoy sculpting nude males in this art class. Soon after, Ally finds herself actually going out with the man whose body she was molding. Meanwhile, Ally works on the case of a 19-year-old man facing assault charges for protecting his date from an aggressive ex-boyfriend.

When Ally has a chance encounter wiht Glenn, they confront just how they feel towards each other. Meanwhile, John and Ally take on a wrongful passing case that Richard is convinced will reap huge profits for the firm.

Fish stirs up trouble in and out of the office when he asks Ally to flirt with a new client and Whipper catches him fondling "Janet Reno's" wattle. Meanwhile, Ally and Georgia defend a woman suing for the right to marry a convicted felon with a life sentence.

Although Ally and Cage have talked about going out on a "real date", a nervous Ally tries to get Cage to break it off so that she doesn't have to. Ally's strange behavior makes Cage suspicious that she hasn't fully gotten over Billy.

The firm takes on a high-profile case of a jilted spouse who is suing a United States Senator for "interfering with the otherwise happy marital relations". The case takes on perversely similar parallels to the love triangle of Ally, Billy and Georgia. Also, the "Dancing Baby" pays another viist.

Ally, who is having troubles with her psyche, reluctantly agrees to meet with John's "smile therapist". Meanwhile, Fish again pursues "Janet Reno", which only causes more trouble for him and Whipper.

Ally and her newest beau are involved in a minor traffic accident, then forced to deal with a 10-year-old lawyer - a child prodigy who can quote every Supreme Court ruling going back the last ten years. Also, Ally has more sessions with John's "smile therapist". Meanwhile, Fish handles a bizarre sexual harassment case.

While Ally's in denial about her pending birthday, her friends/co-workers are busy planning a big surprise. Meanwhile, Ally finds herself defending a client on the basis that his foot fetish qualifies him as temporarily insane.

Billy welcomes the chances to "play on another level" when Cage/Fish & Associates defend a woman in a high-stakes cuddle case. Meanwhile, Ally becomes Renee's defense attorney after she's arrested on an assault and battery charge.

As Renee's assault and battery case continues, Ally suddenly finds herself having to confront her best friend with brutally honest words about her sexual aggressiveness towards men. Meanwhile, another spying tactic of Elaine's causes an awkward situation for Billy and Georgia.

Georgia and Fish take on a case about a jilted bride-to-be who is suing for emotional and physical damages. The case has a unique twist for Fish... .Whipper Cone is the judge. Meanwhile, Cage goes head-to-head against an ex-law school classmate, a woman he has always had special feelings for.

Ally finds herself teaming up again with Bobby Donnell. Also, Renee and Cage square off in an unusally romantic legal case, which leads to an unexpected revelation from one of these lawyers.