Mike is trusted to close a major lawsuit. Harvey must decide whether or not to keep Mike on staff after Jessica reveals that she knows Mike's secret. Meanwhile, the firm's co-founder Daniel Hardman (David Costabile) returns after a five-year absence, a self-professed "changed man" following the death of his wife.
Mike confronts Rachel about the cell phone message she left him, while Jessica approaches Harvey looking for support regarding Daniel Hardman's impending return. Harvey goes to a Senior partner, Paul Porter (Michael Cristofer), to provide assistance in a bankruptcy case with the hope of winning over Porter's department to Jessica's side. Harvey ultimately goes against Porter's and Jessica's instructions, angering both, in order to win the case his own way. Meanwhile, Louis is "seduced" by gifts and promises from Hardman.
Harvey and Daniel start a feud, carrying out different plans of attack while representing a hospital against nurse union head Nell (Margo Martindale), and Mike is caught in the middle of it. When Jessica informs Louis that a trade publication has listed Pearson Hardman next-to-last in a survey about associates' quality of life, he is assigned a consultant from Harvard Law named Sheila (Rachael Harris), who appears to be Louis' female equivalent. Meanwhile, Donna takes Rachel to a bar and convinces her to complete an online dating profile to move on from Mike. But when Mike helps Rachel with her bio, it sends her back to him and convinces her that Mike has a secret he's not sharing. Rachel is seen taking the LSATs. Harvey tells Mike the story behind Hardman's past.
Travis Tanner is back in town, and has his sights set firmly on Harvey. His accusations that Pearson Hardman withheld evidence in a case where they represented Coastal Motors motivate Jessica and Harvey to be less than transparent with Hardman. Donna is shocked to discover that she actually received and signed for the damning document. Meanwhile, Louis and Mike find common ground in a case where they defend a bottled water giant, but Louis’ paranoia might derail a budding friendship and his own standing at the firm.
Harvey feels undermined when Jessica makes him second chair to Allison Holt (Diane Neal) on a lawsuit that could make or break the firm — and his back-seat driving might have far-reaching consequences. Mike represents a tennis prodigy (Julian Alcaraz) who wants to be emancipated from his coach-father (Conrad Dunn), who opposes the 16-year-old turning pro. Donna deals with the fallout from the Coastal Motors case and is fired when she panics and destroys the document.
While in Atlantic City, Harvey and Mike decide to pursue the case of a man who gambled away his company, due to Harvey's history with the client, Keith Hoyt (Peter Outerbridge). Meanwhile, Louis and Rachel work together to protect an admired institution, and Jessica struggles as she tries to defend the firm. Scott Grimes appears as an entrepreneur who enjoys high-stakes gambling,[7] and Matthew Glave as an attorney.[7]
The pending lawsuit against the firm sees Harvey turn to Zoe Lawford (Jacinda Barrett), an old colleague with whom he has a past, for assistance in proving Pearson Hardman’s case. Zoe has the team prepare a mock trial as a warm-up for the real thing, and Louis is asked to take the role of Travis Tanner. Harvey asks Donna to testify that she destroyed the Coastal Motors memo, but she has retained a lawyer of her own and plans to plead the Fifth.
Harvey and Mike look back five years into their pasts to see how it affects them today. The episode reveals Harvey's rise from senior associate to junior partner very shortly after his father's death, Mike's initial motivation for getting into the illegal LSAT-proxy business, details surrounding Hardman's original dismissal from the firm, and a person of interest surrounding that dismissal who can help Jessica battle Hardman for managing control in the present day.
When Louis is promoted to senior partner and has the deciding vote in the firm's future, Harvey must convince him to support Jessica. After Louis discovers that Hardman intended to make him the fall guy for his embezzlement schemes five years ago, Hardman admits his indiscretion, then tries to convince Louis that he is "not that person" anymore. Meanwhile, Harvey defends a brash sportscaster (Jeff B. Davis) who accuses a star baseball player of using performance-enhancing drugs, with no apparent evidence to back up his claims. Donna returns to the firm. Rachel learns that she did well on the LSAT. Mike uses his end-of-year bonus to buy an apartment for his grandmother in Manhattan. While waiting at the apartment for his grandmother so he can surprise her, Rachel arrives and informs Mike that his grandmother died.
Hardman wins the partners' vote, including the vote from Louis, and replaces Jessica as managing partner. He and Louis begin making Harvey and Mike's work lives miserable. Harvey smokes marijuana with Mike, and when Louis observes Harvey high, he has Hardman order him to take a drug test. Harvey refuses and a partners meeting is held to determine if he will be fired. At that meeting, Harvey and Mike reveal evidence (not all valid) of Hardman's past treachery, including his setting up Donna, Harvey and ultimately Jessica for the fall in the Coastal Motors case, and it is Hardman who is fired. Mike meets his childhood friend Tess (Elisabeth Hower) at his grandmother's funeral, where Tess and Rachel support him in making a speech. Mike wants to act on the mutual attraction with Rachel, but she asks him to wait. Rachel changes her mind and goes to Mike's apartment, only to discover him in bed with Tess.
Mike is still having sex and getting high with Tess, even after the interruption from Rachel. Mike is assigned the case of a young man named Liam (Reiley McClendon) who was involved in a hit and run while driving home from a party. The memory of his own parents being killed by a drunk driver compromises Mike's ability to act in the best interest of his client. Harvey wants to celebrate Hardman's dismissal with Zoe Lawford, but finds out that Zoe's brother has just dropped off his daughter, Olivia, on short notice. Meanwhile, Louis meets with Sheila (Rachael Harris), who already knows that he made senior partner and appears to be turned on by that fact. Louis asks for Sheila's help in landing a top-notch new associate from Harvard named Maria (Aarti Mann), but it's all for naught when Jessica makes up a "hiring freeze". Louis thinks it's a punishment, but Jessica does it to prevent him from hiring someone who could inadvertently reveal Mike's Harvard secret.
Harvey is suspicious when a client, Trent Devon (Jon Foster), suddenly decides to not let his company go public, while also expressing reservations about retaining Pearson Hardman. Allison Holt, who is working for the rival firm Bratton-Gould, makes a professional attack on Pearson Hardman, and begins to lure away the firm's best associates. Louis has to face Harvey's wrath for his previous actions when he voted for Hardman. Louis takes his frustrations out on Harold, and when the firm loses a client on a case assigned to Harold, Louis fires him in front of everyone. Louis considers leaving Pearson Hardman altogether, and meets with Allison.[14]
A settlement that Harvey negotiated is in jeopardy of falling apart, as high-profile lawyer Robert Zane (Wendell Pierce) steps in as opposing counsel and drastically reduces the settlement offer. Robert Zane is Rachel's father, and Harvey attempts to gain leverage from Rachel and Robert's contentious relationship by adding Rachel to the case as a paralegal. Meanwhile, Louis engages in an escalating prank war with Katrina Bennett (Amanda Schull), Harvey's newly hired senior associate.
Daniel Hardman returns, bringing a sexual harassment lawsuit against Pearson Hardman on behalf of a former employee. Harvey and Jessica are tactically limited because of a non-disclosure agreement that Jessica signed when Hardman left. Mike attempts to convince the former employee to settle so that the firm can focus on the Folsom Foods litigation.
Battling too many cases on depleted resources, Pearson Hardman takes an "all in" approach on one location, while mulling over a deal to merge with a British firm that employs one of Harvey's old flames, Dana "Scottie" Scott (Abigail Spencer). Mike develops a less than desirable working relationship with Katrina. Meanwhile, Rachel finds out she was not accepted at Harvard.
A British firm headed by Edward Darby (Conleth Hill) decides to sneak in with a tempting offer for Jessica's firm, clashing with Harvey's plans for the future and Jessica's own vision, and leaving them both to make up their minds on what direction to take with their careers. Louis meets his match in the form of Darby's quartermaster, Nigel (Adam Godley), as the two try to find a way to keep both their jobs viable in the new combined firm. Harvey makes a wager with Edward, which would stop the merger should Harvey win, on a case that is later handed over to Mike. However, Jessica threatens Mike with exposing his secret if he wins the case. Mike loses the case and faces Harvey's wrath for his disloyalty. Mike finally tells Rachel that he never went to Harvard Law, then ends up having sex with her.
