Caroline returns to the United States and discovers Greg and Alison are expecting a baby. Malbro, who has been trying to entice Julian into a romantic relationship without much success, advises Caroline he is planning to travel to China and India in hopes of forgetting her. Caroline tells Julian she loves him as well and they spend the night together. When Allison learns about their tryst, she tries to create a scandal, implying that Caroline isn't what she seems. Allison machinations are stopped by Malbro and Greg. On their way home, the couple become involved in a heated discussion in the car and are involved in a crash in which Allison is killed and Greg is injured severely.