Point Place, Wisconsin; Friday Night; 10:46 p.m.; The Water Tower. The gang is up on the water tower; the guys painting a pot leaf, Jackie and Donna sitting and talking. The guys finish painting and stand back to proudly admire their work but Hyde says that it doesn't look like a pot leaf, it looks like the water tower's giving him the finger. He tells Kelso to fix it, and in trying to reach out farther to fix it, Kelso loses his balance and falls off the water tower. Hyde leans over the railing and asks Kelso how it looks from down there; Kelso says it looks like it's giving him the finger.
In the Forman livingroom, the gang sneaks in through the front door to a dark room. They're all being very quiet. Jackie wants to go to a hospital but Kelso doesn't want his dad to find out. Eric says he'll just go get his as she's a nurse and will be able to help Kelso. Eric goes upstairs and opens his parents' bedroom door only to discover them having sex. He looks horrified and is frozen in place for a moment before closing the door and stiffly walking back downstairs.
In the Forman livingroom, Eric tells the gang that it's time to go to the hospital. Kelso asks where Eric's mom is; Eric grabs him and yells in his face, "Shut up! Don't you dare talk about my mother!"
[Scene change: a flower-power flower moans in pain as a bump raises on it.]
At the hospital Kelso talks to his father on the phone, telling him that he hurt himself by tipping a cow. Donna asks Eric if he's ok; he nervously tells her that they (his parents) were sleeping. Jackie promises to nurse Kelso back to health. As they start to kiss, Eric says he's leaving; the rest of the gang leaves as well, Kelso apologizes for ruining the evening but Hyde tells him that he had a blast watching Kelso fall. After they're all gone, Jackie tells Kelso that it's all Kelso's fault because Hyde told Kelso to fix the painting and Hyde told Kelso to lean out farther. Kelso tells Jackie that Hyde's his best friend; she disagrees telling him that his best friend should be by his side, helping him get better, and Hyde's not doing that.
In the Forman dining room, Red announces that there are vandals in town; when he was driving home, he saw the water tower giving him the finger. Laurie asks Eric where he was last night; Kitty tells her to can it and then tells Eric that he looks pale and asks to see his eyes. Eric has his head down and won't look at either Kitty or Red, but when Kitty orders him to look at her, he does, but he sees her sitting at the table eating her breakfast naked. He looks over to Red, but Red's naked too. Kitty asks if something's bothering him; Eric says, "God, make it stop!" and runs from the table.
Eric walks down the hall and opens his parents' bedroom door only to find them having sex. The scene repeats over and over; it's a dream and Eric wakes up with a cry of fear, sitting bolt upright in his bed. The clock says 4:10 a.m. He lies down and tries to sleep again, only to wake up with a scream at 4:21 a.m. He lies awake in bed, reliving the incident, until the alarm goes off in the morning.
In the Forman kitchen, Kitty reads a pamphlet called, "Is Johnny High? How to tell if your child is on drugs -- 10 Warning Signs." She tells Red that Eric has 9 out of 10 warning signs and that Eric is high. Red says Eric's not on drugs, he's just weird. Eric comes into the kitchen, coat half on, dropping textbooks on the floor, looking nervous and refusing to make eye contact with his parents. He tells the floor that he slept in and he's late for school; he's not hungry anyway so he doesn't want any breakfast. He goes out the door and Red says that Eric's on dope; Kitty agrees adding that today is Sunday.
[Scene change: lava lamp.]
In the Forman basement, the gang sits around watching tv. The talk turns to sex, and Eric blows up, saying "Everywhere I look now it's sex, sex, sex. It's disgusting, and I, for one, will not have it in my basement!" Donna asks what's wrong, but Eric just says that he has some moral fiber. Jackie leaves to check on Kelso; Hyde asks how Kelso's doing and Jackie tells him that he should apologize to Kelso but Hyde doesn't know what he should apologize for. Jackie calls him a jerk and leaves.
In the Forman kitchen, Eric stands staring off into space. Laurie comes in and asks him what's wrong with him; Eric tells her that he saw Red and Kitty having sex. Laurie looks horrified, then takes Eric in her arms telling him that everything will be ok. He tells her that Red and Kitty were like a pair of wildebeests on a National Geographic special. Laurie consoles him, explaining that Red and Kitty are people too and have urges just like they do. She adds that in her psychology class she learned that many people have had the same experience. Eric asks if those people turned out ok; she tells him that some of them turned out to be serial killers but she's sure that's just a coincidence.
In the Vista Cruiser, Eric and Donna sit in the dark. Eric is staring off into space. Donna yawns, and while stretching, puts her arm around Eric. He tells her that he's not in the mood. She tries to coax him into making out but he just continues to tell her that he's not in the mood, then finally tells her that he saw his parents having sex. She's horrified by that, then tells him that when she was 12, she saw Bob and Midge having sex, but eventually she got over it. Eric tells her that he doesn't see that happening for him, because when he walked in on Red and Kitty they were right in the middle of everything. She tells him that that's nothing, then begins to describe what she saw when she was 12. The more detail she gives, the more she begins to relive the memory, and by the end of it, she's horrified again. Eric tells her that he feels better knowing what she went through, and that she got over it. Eric tells her he's ready to fool around; Donna tells him to take her home.
[Scene change: flashing Vista Cruiser tail lights.]
In the Forman basement, the gang sits around. Jackie and Kelso come in; Kelso's arm is in a sling. He greets his friends: Eric, Donna, and Fez, but leaves Hyde off the list. Kelso tells Hyde that he'll be waiting for anything that Hyde has to say to him, but Hyde doesn't say anything. Eric tells Hyde to apologize, but Hyde says that he doesn't have anything to apologize for. Kelso tells Hyde that it's Hyde's fault that he fell off the water tower. Hyde asks how it's his fault. Kelso tells Hyde that he didn't like his artwork, and he laughs at him and is inconsiderate of his feelings. Hyde tells Kelso that he sounds like a girl, then reminds him of a time when they were younger and Hyde hurt himself and ended up bleeding while Kelso laughed. Kelso starts laughing at the memory; Hyde asks if he sees the point and Kelso says, "Yeah. It's funny when friends get hurt." "Close enough," Hyde tells him.
In the Forman kitchen, Eric sits on a chair while Red and Kitty stand in front of him and Laurie reads a magazine at the counter. Kitty tells him that they've noticed he's been acting strange lately; Red asks him if he's on dope. Kitty offers help but Eric tells them he's not on dope. Kitty is relieved, but Red doesn't believe him, asking what's wrong then. Eric starts to explain that he went upstairs... then thinks better of that and just tells them that he's on drugs. Laurie, exasperated, tells Red and Kitty that Eric saw them having sex. Kitty immediately understands why he's been acting so weird and tells Red to say something. "It's more fun than it looks," Red says, completely uncomfortable with the situation. Eric tells his parents that it's ok, he understands that they have sex, finally able to look them in the eye. Red says that he hopes Eric has learned his lesson; Eric asks what that is. "Always knock," Red says. "Even in the middle of the afternoon," Kitty adds. Eric, cringing, runs from the kitchen. After he's gone, Red starts to laugh over the situation, until Kitty tells him to put himself in Eric's shoes, saying, "what if that had been you walking in on your parents." She then adds that Red's mother used to be a dancer, so it would have been quite something. Red tells her to quit it, and when she tries to kiss him, steps away from her, then runs from the kitchen.
[End credits: Fez is up on the water tower alone, fixing the pot leaf. He loses his balance and falls off the tower. Lying on the ground, alone, hurt and in pain, he realizes that the water tower looks like it's giving him the finger.]
Of note in this episode:
Laurie tries her best to be nice to Eric, although she's not very good at it.
The song that plays while Eric sees Kitty naked at the breakfast table, when his alarm goes off and again during the National Geographic scene is Tell Me Something Good, 1974, by Rufus.
Kelso once had a dog named Yogi.