After befriending a likeable busboy, Donnie (PAUL WASILEWSKI), at a casual seafood restaurant, Ryan takes a job there.  Wanting to experience Ryan’s social group, Seth accepts Donnie's invitation to a party in Donnie's neighborhood. Ryan fears the Seth doesn't comprehend the type of people he will encounter, so he sacrifices a potential date with Marissa to protect him. During the wild party, the luxury car that Seth borrowed from his mother is destroyed by thieves.Feeling bad that he prevented Ryan and Marissa from getting together, Seth persuades Marissa to plan another date with Ryan. While the hesitant pair happily shares sandwiches by the pool at the Cohen house, Seth disregards Ryan's advice and allows Donnie and his rough friends to attend a Newport Beach party with him. Ryan must again abandon Marissa to help Seth when Donnie's group becomes uncontrollable, and a fracas between Donnie and Luke results in Luke getting shot in the arm. Unbeknownst to Marissa, who has not spoken to Luke since their argument before the cotillion, Luke and Marissa's friend Holly (recurring guest star ASHLEY HARTMAN) have begun dating.Meanwhile, Kirsten, Julie (recurring guest star MELINDA CLARKE), and two of their fellow society women embark on a spa weekend that becomes uncomfortable when Kirsten confronts Julie about the way she is treating Jimmy. Home alone, Sandy and Jimmy try to bond during a barbecue. Although the two men have never been very friendly, mainly because Jimmy dated Kirsten before Sandy married her, Sandy gives Jimmy some strong advice about how to deal with his financial ruination and possibly save his family. Later, chastened Jimmy offers Julie a choice: They can liquidate their house and all of their assets and start over together, or they can declare bankruptcy and keep their possessions--while Jimmy goes to jail for 8 to 10 years.