She Knows
S2 episode 1 Aired on June 14, 2012

Mike fears the worst when he is summoned to dinner with Jessica, but it's Harvey who learns the truth from the founding partner after she has wined, dined, and sent the young associate home feeling on top of the world: she knows Mike's secret. And she wants the kid gone.

Of course, Harvey can't bring himself to fire Mike. Hoping to buy some time, Harvey keeps the energized Mike focused on clearing up a nuisance lawsuit that is holding up a billion-dollar merger, and does some clever manipulating of Louis to make sure Mike remains indispensible.

At the same time, Mike sets out with gusto to clean up the merger snag. However, his bubble bursts when Jenny, furious about his kiss with Rachel, confronts him outside the Pearson Hardman offices and reveals that Trevor has exposed him to Jessica.

Meanwhile, Jessica learns about Harvey's plans to stay Mike's execution and she's none too pleased. But when news surfaces about Daniel Hardman, the founding partner of Pearson Hardman whom Jessica and Harvey had a hand in sending into exile, they realize that all of their futures with the firm may soon be in jeopardy.