Old Nick, believing Terry is rich, introduces her to Jeff, and they soon fall in love. Mrs. Pegler has holdings in the sparkling water company controlled by Freddie and the rival company controlled by Mavis and Chester. She encourages a marriage between Mavis and Freddie to promote a merger between the companies that would increase the value of her holdings. Fearing that Old Nick will try to pair Jeff with Mavis and that Terry will steal Freddie, Mrs. Pegler pays Pierre Alexandre Boissonade, the brusque and unpleasant Commissaire of Police at Roville, to search Terry's room for anything incriminating. M. de La Hourmerie finds Old Nick and demands the missing dossier. Kate learns from him that Nick and Jeff have little money, and she tells Nick that Terry also has little money, which turns Nick against a match between Jeff and Terry. Jeff goes to Paris to see publisher J. Russell Clutterbuck, who is also a customer of the Trent farm. Terry is warned by Boissonade's sympathetic subordinate about the search, so she asks Freddie, a former American football player, to guard her room. He punches Boissonade, who escapes. Kate, Old Nick, and others discover Freddie with Terry in her room. Nick tells Freddie he must marry Terry and telephones a newspaper to announce the engagement.