In the last number we found Patsy turned away from the Sunnyside Seminary with no object in sight. After weeks of wandering he finds his way to the seashore, where he secures employment in a fishing company. He is a failure as a fisherman, and after being almost smothered by being plunged into a boat load of slimy, living fish, he is discharged. Wandering aimlessly down the beach be picks up a small bag containing a number of medals, and these he decides to employ in the direction of securing other employment. This comes to him at the bathing pavilion of the summer resort near the fish ponds, where the medals and a letter of recommendation from Mrs. Squills of the Seminary secure him an appointment as instructor. By a coincidence Father Bolivar has taken a cottage at the same resort, for the benefit of his wife’s health. At the same time, the Sykes and Graces arrive at the hotel and encounter Patsy when they go to the beach for a swim. The reunion with his parents is touching and cordial, but Sykesy again suffers under the growing affection of his lady love, Tilly, for the now important Patsy. Sykesy and Tilly become caught in the undertow on the first day of their arrival, and their lives are saved by Patsy, He now becomes a veritable hero, is awarded the Carnegie Hero Medal and $1,000 in cash, and a reception is given to him at the hotel. All the young women insist upon dancing with him and all the men are jealous of him, but he selects Tilly as his constant partner, much to the grief of the faithful Jane. In a secluded spot on the hotel balcony Patsy summons the courage to propose to Tilly, and seeing that he is now provided with a goodly amount of cash, she accepts him. Their interview is interrupted by Sykesy, the usual fight occurs, and Patsy throws Sykesy over the railing onto the pavement below. Sykesy is taken upstairs, the doctor pronounces his case a serious one, and it is decided to have Patsy arrested. But Jane, overhearing this, warns him. He runs away pursued by the landlord and the porters of the hotel, and is captured.