Earl is a character witness for Joy's trial, but he soon learns that the only way Joy will get out of a conviction and her third strike is to falsely confess to the crime himself.
Earl, a petty criminal, is hit by a car and loses his $100,000 lottery ticket. Drugged, he signs divorce papers. He now believes in Karma and makes a lists of wrongs to right, starting with Kenny.
When Earl tries to return a take-a-number machine to a department store, it triggers back memories of when the gang moved into the department store on 1/1/2000--thinking that they were the only people alive in town after Y2K.
Earl finds out that a guy he stole money from was going to use the money to buy the winning lottery ticket. So he returns the money to him, which makes Randy very angry.
Earl talks Joy into letting him set up a new wedding with Darnell after ruining their last one, but he only makes things worse by sleeping with her before the wedding.
Earl neglects the list while he hangs out with a sexy psychology professor who is fascinated with concept of karma. But as a result of blowing off his list, karma catches back up with him.
Earl makes up for stealing an air conditioner from a stoner and winds up living on a commune for a week. The experience makes him environmentally conscious, which only frustrates him even more.
Earl tries to return a set of precious silverware he stole from the public library. But when he discovers that it's gone, Randy, Joy and Crabman each reveal their own secrets about the whereabouts.