When Lilith drops Freddie off at Frasier's, Frasier discovers that Lilith anticipates spending Thanksgiving with one of her colleagues in Canada, a man with whom she works among the "lab rats." While she is there, Lilith receives the news that the guy came down with something, and he had to cancel. Freddie asks Frasier if his mother can stay with them for Thanksgiving, and Frasier very reluctantly agrees. Part of his hesitation is that Niles will be coming over to spend Thanksgiving with them as well, and Lilith and Niles had a one-night-stand.
Freddie secretly suggests to Frasier that he help Lilith work on an article that she is writing about the children of divorced parents. Freddie tells him that his mother would love the help, but is too proud to ask. Freddie then privately suggests to his mom that Frasier help her out with the article.
One by one, Martin, Daphne, and Niles all arrive at Frasier's place, and none are too pleased to see Lilith. Niles especially is uncomfortable, and manages to exchange some insults with her.
Later, Niles attempts to play a video game with Frasier, and is puzzled by how quickly the character in the game dies on the practice level when Niles tries.
When Frasier is alone in the kitchen, Freddie tells him that Lilith mentioned something about wanting a bottle of wine. Frasier is dubious, but Freddie insists. Freddie then lies to his mother, telling Lilith that Frasier has been paying her compliments and remarking about how attractive she looks.
Frasier goes out in the hallway to Martin that he suspects Lilith is coming on to him, while Lilith sneaks back to the room where Niles is playing a video game and expresses her suspicion that Frasier is trying to get with her. Both Martin and Niles are disbelieving.
Lilith and Frasier walk back out into the living room to find romantic music playing and the lights dimmed, each thinking the other had something to do with it. Freddie has secretly rigged everything. As they discover what has happened, Frasier points out that Freddie wants them to get back together. Lilith has other ideas, though. She believes that Freddie has concocted everything to manipulate his parents into getting him a dirt bike which he wants very badly. Lilith's theory is that when they have to explain to him that they're not getting back together, their sympathy will cause them to cave in to the idea of the dirt bike.
Lilith tests her suspicion by informing Freddie that she and Frasier are getting back together. Freddie acts overjoyed. Lilith explains that this will mean giving up his friends and school and moving to Seattle. Freddie continues to rejoice.
Frasier is in a panic, thinking Lilith got it wrong. She proves her wisdom when Freddie declares that he's going to call his friends, and Lilith hits the "speaker" button the phone in the living room to get on the extension. Freddie is bragging how soon he will have a dirt bike of his own out of his parents' guilt. Lilith and Frasier make their presence known, and Freddie hangs up in terror. The two wait to confront him, letting him agonize while they have a glass of wine.
The last scene while the credits roll depicts Daphne leaning over Freddie's shoulder playing a video game with him, much to Frederick's obvious enjoyment.