To earn some money before the baby arrives, Sookie asks Lorelai if they can cater a kids party but Sookie doesn't know what kids like. Emily sets Rory up the proper way and Richard contemplates a business partner.
Lorelai needs to get permits approved before they can move forward with the inn and learns that business also involves back room deals. Rory runs into Dean who invites her to his wedding.
Rory's roommates have her on edge so she tries to find the perfect place to study. Meanwhile Emily hires Sookie and Lorelai to cater Richard's office party only to find out Jason has other ideas.
Stars Hollow is asked to host a Festival of Living Art when a neighboring town backs out, inspiring the town regulars pitch in to pull it off in only a week. Lane finds the perfect guitarist to replace Dave, but Zach objects because of his age. Sookie and Jackson hire one of the best midwifes on the eastern seaboard. Luke and Nicole decide to hold off on their divorce.
After receiving advice from the Yale Daily News editor on what he is looking for, Rory's next article is a huge hit with everybody except the dancer she reviewed. Richard and Emily return from their Atlantic City business trip while Lane is told to send a special jug to Dave in California. Lorelai confronts Luke about his relationship with Nicole and Bruce confronts Lorelai and her anti midwife energy on retarding the baby's acquisition rate.
Luke hires Lane to help out at the diner. Rory isn't happy Paris is dating her new teacher. Lorelai and Jason decide to keep their relationship from her parents at least for now and Michel, out of jealousy babysits Davey.
Lane's band gets a gig at famous CBGB's in New York, but it doesn't come without a price. Luke and Lorelai make up to silence the newly restored bells but only after Lorelai realizes maybe Luke hasn't moved completely away. Rory confronts laundry-room guy.
Lane fits right in at Yale, almost. Luke's sister Liz visits for her high school reunion and Jess returns to get his car. Meanwhile with Jaime in town, Rory makes Paris decide between her two guys. Lorelai finds money is tight. She and Jason agree to let her parents know they've been dating, but that's easier said than done.
It's firelight festival time again and with Taylor stuck out of town, Kirk tries to fill in. Luke meets his sister Liz's latest boyfriend, Lorelai meets Liz and realizes Luke really is always there for them and Jess, anxious to get out of town as soon as his car is repaired, stirs up trouble with family and friends.
Lane moves in with Lorelai for the time being and lets Mrs. Kim know who advises her to wear socks. Lorelai the first visits and learns that Lorelai's inn construction is costing more then anybody expected. Lorelai and Rory play phone tag as their frustrations mount. Lorelai's financial woes reach a boiling point and so does Rory's school pressures as each have a melt down with the strong married men in their lives.
Lorelai the first passes on suddenly leaving Richard a mess and Emily handling all the arrangements till she discovers a letter Trix wrote Richard the day before he and Emily married. Lorelai finishes up the arrangements the best she can. Luke and Nicole quarrel in the town square and bar glass pinching cousin Marilyn reminisces about Lorelai the First's full life.
Richard and Jason invite Jason's father for dinner only to discover he wants to ruin their competing company. Rory tells Lane what she thinks of Dean's selfish wife, not knowing Lindsay can hear her. And after months of deception, Richard and Emily learn Jason and Lorelai have been dating.
Luke and Nicole finalize their divorce. Lorelai, concerned about Jason, confronts her father on their business problems. Emily too questions Richard's decisions and gets the cold shoulder, which is the final straw for her. Jason then decides to counter sue Richard, leaving Lorelai with one clear choice.
Liz returns to Stars Hollow with news that she and TJ will marry next week in the towns square which has Luke asking Jess to attend. Lorelai and Sookie overhear Dean and Lindsay's problems and Luke works on his dating and communication skills with a self help tape that makes him realize that the one has been in front of him the whole time!
Lorelai helps Mrs. Kim and Lane resolve their dispute. Rory gets stranded on a bad date. Liz and T.J. have a Renaissance-themed wedding in the town square, attended by Luke and Lorelai.
Lorelai suspects that Luke's intentions towards her have become serious, but she doesn't have time to dwell on the situation as she prepares for the opening of the Dragonfly Inn by inviting friends and family to a test run.
