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On the witness stand, Blake maintains his innocence; Matthew learns of Claudia's affair with Steven; Claudia and daughter Lindsay are involved in an automobile accident; The prosecution calls in a mysterious witness that Blake is surprised to see.
Blake must stand trial for the murder of Steven's lover; Krystle returns home to be with Blake. Fallon testified in her father's behalf but Steven refutes her statements in court.
Steven tells Claudia he spent the night with Ted; Krystle leaves Blake; seeing Ted embrace his son, Blake strikes him; Steven accuses his father of murder.
Blake learns Krystle pawned her emerald necklace to help out Matthew; Fallon tells Jeff she married him solely for her father's welfare; Steven's former lover, Ted, arrives in Denver.
Steven announces he is moving out of the mansion; the chauffeur, Michael, tells Blake of Steven's affair with Claudia; Fallon resumes relations with Michael, until Blake has the chauffeur worked over; Lindsay sees her mother with Steven
Matthew and Walter's well comes in; Fallon asks to borrow the necklace Krystle pawned to help Matthew; at his mountain cabin, Steven and Claudia make love.
After being fired for sabotaging Matthew's equipment, an innocent Steven learns he was set up; Lindsay is shattered to learn about her birth; Blake tries to learn who bankrolled Matthew; Fallon warns Steven's ex-lover to stay away from her brother.
Walter takes Steven to a bordello; Steven is blamed for sabotaging Matthew's rig; Krystle pawns her diamonds to help Matthew financially.
Steven is taunted on the job for being gay; Blake learns of the terms of Fallon's marriage to Jeff; Steven finds himself attracted to Claudia.
Steven's ex-lover, Ted, arrives from New York; Fallon reluctantly marries Jeff Colby; Blake hires Michael, the chauffeur, to do undercover work for Denver-Carrington.
Blake invites Matthew to dinner at the mansion to entice him to return to Denver-Carrington; Krystle clashes with head butler, Joseph; Matthew tells Krystle he's still in love with her; Jeff attempts to win Fallon.
Urgent business cuts short Blake and Krystle's honeymoon; Steven takes a job working for Matthew Blaisdel; Cecil proposes that Fallon marry his nephew.
Blake and Krystle are married; Jeff Colby pursues a disinterested Fallon; Walter and Matthew form a business partnership; Claudia and Lindsay try without success to resolve their differences.
As Krystle Grant Jennings prepares to marry wealthy oil tycoon Blake Carrington, Matthew Blaisdel, a former lover, returns to town and causes her second thoughts. Blake's estranged son Steven returns home for the ceremony, as does rebellious daughter Fallon, who objects to the union.
As Krystle Grant Jennings prepares to marry wealthy oil tycoon Blake Carrington, Matthew Blaisdel, a former lover, returns to town and causes her second thoughts. Blake's estranged son Steven returns home for the ceremony, as does rebellious daughter Fallon, who objects to the union.