Marissa continues to hang out at the beach to watch Johnny's surfing skills, where she discovers some secrets about Johnny that Ryan lacks; about being involved in a shooting years back. But Casey becomes jealous about Marissa hanging out with Johnny, and seeks some companionship with Johnny's rival, a vicious gang member and rival surfer named Kevin Volchok. Meanwhile, Charlotte convinces Kirsten to help her and Julie throw a charity event while Charlotte plot to steal all the donations and skip town. But when Julie discovers Charlotte's scam and her plot to frame Julie for the event, Julie then has a change of heart and threatens Charlotte to not go through with it. Summer and Seth learn more about Taylor and the reasons for her behavior which stems from her unhappy and lonely home life during planning for a Harbor High's weekend lock-in. There, Taylor takes advantage of Summer's absence (who's helping Ryan deal with Marissa and Johnny) to makes the moves on Seth. Also, Sandy plans to sell the Newport Group. But his plans change when an ambitious young executive, named Matt Ramsey, persuades Sandy to keep the company open and offers to come on board to help out.