Aware of Cal and Ruth's disapproval, Rose rebuffs Jack's advances, but realizes she prefers him over Cal. After rendezvousing on the bow at sunset, Rose takes Jack to her state room; at her request, Jack sketches Rose posing nude wearing Cal's engagement present, the Heart of the Ocean necklace. They evade Cal's bodyguard and have sex in an automobile inside the cargo hold. On the forward deck, they witness a collision with an iceberg and overhear the officers and designer discussing its seriousness.
Cal discovers Jack's sketch of Rose and an insulting note from her in his safe along with the necklace. When Jack and Rose attempt to inform Cal of the collision, he has his bodyguard slip the necklace into Jack's pocket and accuses him of theft. Jack is arrested, taken to the master-at-arms' office, and handcuffed to a pipe. Cal puts the necklace in his own coat pocket.