On July 18, 1999, the second episode of Season 2 of "Cruel Summer" unfolds with Isabella penning a heartfelt letter to her beloved best friend, detailing her amusement amidst the struggle to forge a connection with Megan. That same morning, Isabella lends a helping hand to Debbie, Megan's mother, in preparing breakfast. Their conversation deepens, with Isabella sharing glimpses of her life and family, revealing her solitary existence amidst frequent relocations that has left her with a scant circle of friends.
Isabella enchants Megan's younger sister Lily with tales of her cherished friend Lisa, all while acknowledging Megan's icy demeanor and her determination to thaw that frozen exterior. When Megan steps out for work, Isabella's curiosity leads her to snoop around Megan's room, where she discovers the latter's wallet. Without hesitation, Isabella ventures to the bar where Megan works and returns the wallet, with Luke's timely arrival adding an unplanned twist as he places an order.
The encounter sparks a conversation between Isabella and Luke, culminating in a spontaneous decision to host a party at Luke's abode. Luke, intrigued by Isabella, wonders aloud if Megan might join their merrymaking. Isabella graciously declines, suggesting that Megan should come of her own volition. During their journey to the Chambers House, Isabella and Luke share stories, with her revealing that Megan's family and the town's photographic charm sealed her decision to choose this locale for her exchange program.
Arriving at the Chambers' pool, Isabella isn't startled to find the party already in full swing. Parker greets her with a frosty demeanor, but Isabella's wit and charm begin to win her over. Brent's awkward flirtations at the pool earn him a stern warning from Isabella, hinting at exposing his advances to Parker. Megan enters the fray, observing Isabella's seamless integration into the group dynamics.
Luke and Isabella's garage expedition for fireworks segues into a heartfelt chat about Megan. Luke speaks warmly of her, urging Isabella to embrace her true self, confident that Megan will eventually warm up. Outside, Isabella's shock intensifies as she discovers a stash of pills in Megan's bag. That night, as Isabella and Luke light up the skies with fireworks, Megan watches from a distance, her expressions complex.
Luke engages Megan in conversation about Isabella, prompting Megan to label Isabella as an attention-seeker. Luke, however, stands firm in Isabella's defense, urging Megan to make an effort to build a bridge. In the pool, Isabella confronts Megan about the pills, with Megan justifying them as a means to extend her study hours. Isabella promises secrecy while suggesting a mutual tolerance for the yearlong program.
As Luke and Isabella dive into the pool, their bond deepens. Luke retrieves Isabella's lost earring, leading to a tender kiss as Megan observes from afar. That night, the trio—Megan, Isabella, and Luke—captures a Polaroid moment together, freezing an instant that holds the promise of change and new beginnings.
On the morning of December 18, 1999, following the Chamber's soiree, Isabella found herself the target of a prank perpetuated by the townsfolk, who adorned her trailer with vulgar balloons. Meanwhile, at the Landry residence, Debbie imparted to Isabella that, despite the tape's public screening at the party, she had received a preliminary warning from the high school and was not yet facing expulsion. Debbie was furious with Isabella for her actions concerning Megan.
Within the confines of her room, Megan watched the remainder of the tape, which unveiled an unexpected twist—it was a recording of her intimate encounter with Luke, not Isabella. Isabella soon joined her, prompting a conversation. Megan confessed that if the school principal discovered the tape, her scholarship would be revoked. Isabella vowed to uphold the misconception until her departure from the town in a matter of months, agreeing to endure the slut-shaming if it meant preserving Megan's scholarship. Isabella assured Megan, her closest friend, that she would do whatever it took for her. She burned the cassette containing the sex tape, convinced they would uncover the true perpetrator.
The duo disclosed their plan to Luke, stressing the necessity of concealing Megan's identity on the tape. Luke contended that his brother Brent was the culprit, but Isabella remained convinced it was Jeff. Their discussion escalated into an argument, drawing the attention of those nearby. Luke requested they remain discreet until he confronted his brother, then left. Isabella returned to the Chambers' house and found Parker there.
Parker revealed to Isabella that Brent had previously attempted to film them during their intimate moments before their breakup. She had returned to ensure no tapes featuring her existed. Together, they embarked on a mission to break into the house. Parker expressed disbelief that Megan was okay with Isabella remaining in the house after betraying her with Luke. Isabella shattered a glass door with a pot and entered the premises.
Parker and Isabella decimated most of Brent's tapes, but as they approached his secret stash, the garage door descended. The girls hastily retreated, only to be confronted by Luke and Brent's father, Steve, who noticed the broken tapes scattered in the living room. Steve inquired if that was their only tape, and Brent affirmed it was. Luke suspected Brent was lying, but their father put an end to the dispute.
Steve urged Luke to apologize to Megan. Isabella recounted to Megan how she had destroyed Brent's videotapes and assured her that everything would soon return to normal. After Steve left, Luke confronted Brent about his habit of filming girls he hooked up with. Luke was enraged to hear Brent's misogynistic remarks about women enjoying the attention garnered by such leaks.
Brent vowed that he was not behind Luke's sex tape before departing. Later that evening, Luke confessed to Megan that he felt his father did not truly love him because he was unlike Brent, who embraced the world of business. He feared the entire town believed he had cheated on Megan. Megan inquired if Brent knew it was her, not Isabella, on the tape. Luke assured her that Brent was unaware. Isabella eavesdropped on Megan's declaration of Luke as the most significant person in her life, akin to how she once viewed Isabella. This revelation incensed Isabella, prompting her to confront Megan.
On July 18, 2000, Megan confessed to Isabella that both of them had uttered words they deeply regretted prior to Luke's untimely demise. Isabella earnestly requested a private conversation with Megan before the interrogations commenced. Sheriff Meyer disclosed that Luke had drowned, but there was also a gunshot wound near his ear, compounding the tragedy. Furthermore, an exceptionally high level of muscle relaxants was detected in Luke's system prior to the fatal shot, indicating a deliberate attempt to ensure he had no chance of survival.
Meyer elaborated, revealing that the shooter's intention was to ensure Luke drowned helplessly. Brent, Luke's brother, broke the heart-wrenching news to Debbie, Megan, and Isabella – Luke hadn't merely drowned; he had been murdered. Meanwhile, Parker, who had recently befriended Isabella, noticed her packing hastily for a trip to Paris.
Isabella's panic escalated when Parker informed her that Luke's murder was being treated with the utmost seriousness, and all his friends were under scrutiny. As they arrived at the police station for their interrogation, Isabella encountered Megan but was rebuffed when she tried to engage her in conversation.
Isabella announced her intention to return home, but Megan was furious, believing Isabella was abandoning her to bear the blame for Luke's death alone. Megan threatened to expose Isabella's secret if she left before the investigation concluded. Elsewhere, Steve and Debbie discussed Steve's relapse into smoking after years of abstinence, and he blamed himself for the deaths of Luke and his mother.
Sheriff Meyer questioned Parker and the other friends about Luke. They collectively recounted that the last time they saw Luke was at the Y2K party, celebrating New Year's Eve. They mentioned that Luke seemed happy in Megan's company and revealed that there had been a spat between Megan and Isabella.
Meyer inquired about Isabella's relationship with Luke. She admitted they had dated during the summer of 1999 but had broken up before he started seeing Megan. When questioned about the sex tape, Isabella deflected, stating that the police should focus on identifying the tape's originator. Meyer wondered why Isabella remained in town despite the school year ending, noting she had been ready to leave when Luke first disappeared.
Isabella argued that she stayed because Debbie had fallen ill. However, her history of transferring schools three times in three years painted a picture of a troubled individual with a pattern of behavior. Isabella requested to call her lawyer before exiting the interrogation room.
The police suspected Isabella's timing in requesting a lawyer indicated she might have needed legal representation before. As she left, Isabella flushed some medication down the toilet and called her mother for assistance, realizing she was in deep trouble.