On the June 21 "Impact Wrestling", Styles and Carter proved that Daniels and Kazarian had been lying about their relationship by producing a pregnant woman named Claire, whom they had been helping overcome her addictions. The following week, Kazarian teased dissension with Daniels, claiming that he had been lied to. However, in the main event of the evening, Kazarian revealed that he was still on Daniels' side, when the two defeated Styles and Angle, after Kazarian hit Styles with a steel chair, to regain the TNA World Tag Team Championship. Following the win, Daniels admitted that Styles and Carter had told the truth about Claire, but claimed that they had left out the part about Styles being the father of her unborn baby. On July 8 at Destination X, Daniels was defeated by Styles in a Last Man Standing match. On the August 8 "Impact Wrestling", Daniels and Kazarian, billing themselves as "The World Tag Team Champions of the World", made their first televised defense of the TNA World Tag Team Championship, defeating Devon and Garett Bischoff. Daniels' participation in the 2012 Bound for Glory Series ended on the following "Impact Wrestling" with a loss against A.J. Styles, leaving him outside a spot in the semifinals. As a result of the win, Styles also earned a paternity test, which revealed that Claire was not pregnant at all. The storyline ended with Claire, through her attorney, revealing Daniels' and Kazarian's plot to blackmail Styles with her fake pregnancy. On September 6 as part of the first "Championship Thursday", Daniels and Kazarian successfully defended the TNA World Tag Team Championship against Chavo Guerrero, Jr. and Hernandez. Three days later at No Surrender, Daniels and Kazarian made another successful title defense against previous champions, A.J. Styles and Kurt Angle. On October 14 at Bound for Glory, Daniels and Kazarian lost the TNA World Tag Team Championship to Chavo Guerrero, Jr. and Hernandez in a three-way match, which also included A.J. Styles and Kurt Angle. Daniels and Kazarian received their rematch on November 11 at Turning Point, but were again defeated by Guerrero and Hernandez.