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Things heat up fast when Sally Spectra shows up at the Cane train, determined to confront Cane Ashby about Billy Abbott. Sally makes it clear she wants answers, and Cane calmly responds that they both care about Billy—which is exactly why he offered him control of Chancellor. That explanation doesn’t sit well with Sally, and the two quickly fall into a tense debate about whether people truly change.

Cane smugly suggests that Billy tried to become the man Sally wanted, even if it meant sacrificing what Billy actually wanted for himself. He warns her that she’s forcing Billy to make a choice—and reminds her that Lily once did the same thing, with disastrous results. Cane insists Billy wants Chancellor, and he’s willing to give it to him. The real question, Cane asks pointedly, is whether Sally is prepared to stand in Billy’s way.

Sally fires back, accusing Cane of destroying the lives of people who never wronged him. Cane coolly counters that she should enjoy watching Victor and Adam Newman fall apart. Sally flatly rejects that mindset, making it clear she has no interest in celebrating anyone’s downfall. What bothers her most is Cane manipulating Billy’s emotions. If Billy walks away from Abbott-Com, Sally warns, the fallout will eventually explode in Cane’s face.

Their argument shifts to Jill Abbott and how she’ll react. Sally insists that if Cane truly cared about Billy, he would have withdrawn the offer entirely. Cane questions whether she really believes Abbott-Com would collapse without Billy. Sally denies it—but firmly warns that if Billy accepts Chancellor, the damage to him will be far worse than Cane realizes.

Meanwhile, over at the Abbott mansion, Billy fills Jack in on Cane’s offer—and Jack is immediately exasperated. He needles Billy for falling back into his old obsession with Chancellor, pointing out that Nikki Newman must be devastated. Billy insists he isn’t taking advantage of anyone and swears he didn’t orchestrate the offer or pressure Cane into making it. Jack doesn’t buy it.

Jack accuses his brother of riding Cane’s wave of destruction, even if Billy claims he hasn’t accepted the deal yet. Jack knows better—Billy always goes after what he wants, regardless of who gets hurt along the way. Billy argues that taking Chancellor would actually save the company. With AI threatening to gut it, he claims he’d be protecting Catherine Chancellor’s legacy.

Jack remains deeply skeptical, convinced Billy isn’t acting out of noble intentions. The brothers clash hard, with Billy accusing Jack of always assuming the worst of him. Jack quickly guesses that Sally wasn’t thrilled about the offer—and Billy confirms it. Jack points out that if Billy truly respected Sally, he would have already turned Cane down.

Their argument continues, circling around Nikki, Jill, and Billy’s unresolved anger over Jill’s betrayal. Jack questions why Billy would allow Cane to pull the rug out from under Nikki like this. Billy claims Cane genuinely believes he should be running Chancellor. Jack urges him to stop focusing on revenge or legacy and instead do what’s right for himself—not for anyone else.

At Crimson Lights, Phyllis Summers leaves Esther an unusually generous tip, prompting Esther to tease that Phyllis must have a new man in her life. Phyllis laughs it off, insisting there’s no romance—life just happens to be going her way right now.

That confidence draws the attention of Chelsea Lawson, who corners Phyllis and suggests she’s feeling pretty proud after supposedly outmaneuvering Victor Newman. Phyllis doesn’t deny it—she’s enjoying every second of her victory. Chelsea coldly warns that pride always comes before a fall and reminds Phyllis that what she’s done may be illegal.

Phyllis shrugs it off, pointing out that no one ever complained when Victor crossed legal lines. She even warns Chelsea that she may soon be out of a job. Chelsea fires back that the fight is far from over. She’s convinced Phyllis will eventually get sloppy—and when the Newmans strike back, Phyllis won’t see it coming.

Their argument escalates, touching on whether the Newmans have truly lost and who’s living in denial. Chelsea brings up Summer, but Phyllis insists her daughter will be just fine. That’s when Daniel appears—and Chelsea bluntly states that Phyllis only achieved this by lying and cheating. Her arrogance, Chelsea says, will be her undoing.

Daniel confronts his mother directly. He questions what happened to her promise to help Jack and secure Marchetti for Summer. Phyllis tells him to back off and be happy for her success. Daniel warns that she’s tearing apart a family business—and possibly breaking the law.

Phyllis explodes, claiming Victor betrayed her first by going after Cane and breaking his word. She insists she deserves this win. When Daniel reveals that Summer already knows—thanks to Nick—Phyllis dismisses it as “just business.” If her children can’t understand that after everything she’s endured, she snaps, then maybe they don’t truly believe in her. Furious, Phyllis storms out.

Outside, Tessa joins Daniel on the patio. Though Daniel claims he doesn’t want to talk about his mother, it’s obvious he needs to vent. He admits that every time he sees Phyllis, she’s managed to make things worse. Their conversation shifts when Tessa refers to them as “friends,” prompting Daniel to gently question whether that’s all they are. He quickly backtracks, not wanting to pressure her—but both acknowledge something unexpected is developing between them. Neither wants to ignore it. They share a kiss.

Later, Phyllis returns to the Cane train, fuming about Chelsea and upset that her own son is siding with the Newmans against her. Cane sympathizes, admitting he knows how isolating that feels—but warns her things are likely to get even worse.

Phyllis asks when they’ll move forward, then suddenly pauses. Why was Sally there earlier? Does this have something to do with Cane feeling guilty about Billy? Suspicion dawns on her face. “Cane… what did you do?”

Cane finally admits the truth—he offered Billy Chancellor.

Phyllis is horrified. Cane insists it’s the right decision. But Phyllis points out the obvious: by doing this, he’s openly defying Jill Abbott—and that could ignite an entirely new war.