The Malibu gang gathers for Phil 2's funeral. Phil insists on giving Phil 2 a viking funeral, though Erica insists that isn't what he would want. Phil is unable to shoot the arrow to light the coffin on fire, so it just floats out in the ocean.
Phil talks to Carol about his sadness over Phil 2's death. Carol accuses Phil of projecting his inability to get closure with his brother onto Phil 2's death. Phil denies it. Carol prepares to go talk some sense into Todd for having turned down Melissa's proposal, but Phil stops her and tells her about Todd and Gail's relationship. He makes Carol promise not to tell Melissa.
Todd apologizes to Gail for acting awkwardly with her in front of Melissa. Gail tries to tell him to tell Melissa the truth, but Todd insists it's not the best day. Gail finally agrees.
Carol finds Melissa breaking her ornaments outside and panics, not wanting to tell her about Todd and Gail. Melissa insists she is fine and Carol scurries away.
Phil gathers the group to sing a song that he wrote for Phil 2 about closure, but he breaks down crying and runs away. Carol goes after him.
Todd finds Melissa unbeddazling the boots that Carol bedazzled for her with her teeth, noting that they were the boots that she proposed to Todd in. She insists she is doing great, repeatedly, and asks Todd to watch TV with her later, as friends. Todd awkwardly agrees.
Phil goes to Phil 2's room and puts on his clothes and cologne in an effort to feel close to him. He stands in front of the mirror doing a Phil 2 impression. He rifles through Phil 2's things and finds his old ID, where Phil 2 had funny hair and he sees that Phil 2's middle name was actually Stacy (though he'd claimed he had no middle name).
Todd goes to visit Gail in her room. She explains that she's feeling guilty about Phil 2's death and that it's making her horny. She tries to initiate sex with him but he tells her that he's made plans with Melissa. Gail responds by pouring an entire bottle of wine into a Big Gulp cup. Todd promises he'll be right back and rushes off.
Phil tells his ball-friends about Phil 2's middle name.
Phil goes to see Erica. He talks to her and offers to be the father to her baby. He gives her a cradle that Phil 2 built that he fixed and is actively falling apart. Erica gently tells Phil that Phil 2 told her not to let him raise their baby, right before he died.
Phil shoots arrows at a Phil 2 doll he's made and berates him.
Todd and Melissa lie in her bed watching TV. Melissa aggressively cuddles up to Todd and then starts to kiss him. Todd is reluctant at first but then kisses her back.
Phil takes Erica to Phil 2's room and tries to convince her that Phil 2 was a really bad guy by showing her porn magazines and pills that Phil hid in Phil 2's room. Erica doesn't believe him and apologizes for Phil 2 not wanting him to help raise the baby.
Melissa excitedly tells Carol that she and Todd kissed and that she thinks that they might get back together. Carol asks whether she told Gail, confusing Melissa. Carol rushes off, claiming she has diarrhea.
Phil burns all of Phil 2's stuff in a bonfire angrily. He notices Phli 2's coffin has washed up on shore. Erica finds him and comforts him.
Carol confronts Todd, telling him that she knows what he did. She kisses him aggressively and tells him that he broke her heart, freaking him out.
Erica and Phil re-bury Phil 2 on the beach. Erica encourages Phil to finally say goodbye to Phil, without calling him brother or friend. They leave to join the others.