I really loved this episode, it was very important. It dealt with the issue of transsexuality in a very delicate matter. Personally I feel that being a transsexual isn't any less normal than being gay and hopefully both will be accepted in our society in the future.
Stabler was the one the detectives who seemed to have the most problems with Cheryl's gender. He refused to call her a "she" after he found out and he didn't seem very sympatethic. It was the same with her boyfriend, Eddie (although that was understandable - the poor guy got the shock of his life,) but I do believe that men might have a harder time accepting a women with a penis than women. (Which is not an offense, its simply the way society tells men to act, that this is gross and wrong, while women are often taught to be more sympatethic.) He annoyed me in this episode, and being one of my favourite characters I actually got very mad at him. I was amazed by Olivia, though, she really understood Cheryl. (And although I understand the legal issue I think it was horrible to place her in a men's prison.)
Alexandra Cabot was also amazing in this episode, and we came behind her ice queen act. She showed emotions and she was feeling guilty for Cheryl and her situation. She and Olivia had a sweet talk at the end, which I think was a piece of great acting from both Hargitay and March. All in all a very good and important episode which at times was uncomfortable to watch, but I think it was necessary for the message to get across, and I liked the way the show dealt with this issue.