Matt shocks his family when he reveals his secret - that he is very close friends with a teenage pregnant girl, Renee. Right away Matt tells them that he is not the father of her baby, but just trying to help her out. Meanwhile, Mary is keeping her new boyfriend a secret from Matt. Lucy gets a surprise with her secret crush on a classmate Jimmy Moon. Also, Eric gets a surprise of his own when he discovers his shoes keep on disappearing while Matt's friend Renee finds some help from an unusual ally- Eric. Finally, Annie reveals the shocking truth to Matt about his grandmother having leukemia.

Logan wants to become a director, and he has written a script named Shark Fever. He makes a movie about it and Caroline stars in it. In the movie, Caroline is supposed to be attacked by a shark and the shark is driven by Newmie. But the shark won't work. Logan gets disappointed and asks a Captain on a boat if he can sedate a shark. The Captain agrees to sedate a tiny tiger shark and then hold it with a line. As a dangerous scene begins shooting, the tiger shark breaks loose and everybody have to jump out of the water. Then Caroline quits.

Kay begins to wield her power. She starts with the wardrobe policy, the coffee island and holding the story meetings in her office. Murphy fights back and the rest of the staff joins her, even though they like the story assignments she's given them. She stands fast as they all cave in. She confronts Kay and lets her know who's in charge; however we discover who's really the master manipulator. Murphy takes Kay's story idea (moderating the Presidential debates) and finds out the rest have killed their stories. Kay offers to help them get them back as Murphy declares war.