Through Amy's association with Aunt Harriet's theatre group, it is revealed that John Kendall is a homosexual. He hands his resignation to Tommy and decides to go interstate. Tommy persuades Kendall to stay on with the firm despite Tommy's own personal repulsion and the dangers that Kendall's sexual preferences pose for the future of Carson and Carson. At first Jennifer and her family have difficulty settling down to their holiday at the seaside. Bill's absence at this time is a sad reality to face up to but they begin to enjoy themselves in the way that they had during previous vacations.