Fred and Terry fear legally they were responsible for the crash as the dog owners. Alf's car repairs are £60. Len chairs as Annie, Alf, the Ogdens, Fred and Terry meet to sort out responsibility. The parents refuse to give Eddie the benefit of the doubt. Eddie is hurt that he can't look after the kids any more. Hilda demands compensation and loss of earnings. Len reminds the Ogdens that Alan gave Stan the cart for free and Ray sold him the ladders for £2. Alf reveals he can't claim on his insurance because it'll cost him more than the £60 repairs; he'll lose his no-claims bonus. Terry and Fred say they're the injured party as their £30 dog has run off. Annie refuses to pay anyone. Bet advises Annie to set a good example. Annie agrees to pay half the cost of the car repairs and suggests that she, Alf, Fred and Terry all pay £2.50 compensation to Stan. Stan agrees but Hilda is disappointed. Renee decides to sell the shop if she doesn't get the licence.