S7 episode 3 Aired on July 26, 2017

Warning: Recap contains spoilers

Alex Williams’ arrival has tensions high in the house of PSL! Check out our recap for the full rundown on Suits episode 703, “Mudmare.”

Louis Vs. Jealousy

Does Alex Williams’ arrival at the firm spell the end for Louis and Harvey’s friendship? Louis sure thinks so, and it’s tearing him to pieces. Dr. Lipschitz suggests Louis think of this as an opportunity to make a new friend, so the thin-skinned attorney grudgingly extends an olive branch to Alex. Surprisingly, the two find common ground over work and a shared love of cats, and before you can say “tabby” they have a lunch date on the books. But when Alex cancels in order to help Harvey with a case, it sends Louis spiraling into an emotional tornado that can only be calmed by a phone session with Dr. Lipschitz.

Donna and Rachel Butt Heads

Rachel comes to Donna for advice on how to deal with a problem associate, but when Donna steps in instead of letting Rachel handle the situation on her own it leaves Rachel feeling undermined. Rachel later confronts Donna about her behavior, but instead of apologizing about cutting out Rachel’s legs, Donna gets defensive, and the sparks fly.

Paula Has Second Thoughts

Harvey and Paula finally have their second date, but just as things are heating up Paula pulls away. It turns out that a recent conversation with her mentor has Paula feeling uneasy about her newly budding romance with Harvey. When Harvey shows up at her office later and asks if this is about what her mentor thinks or what she thinks, Paula breaks it down more simply: she’s scared. But Harvey tells her he’s scared, too, and they decide it’s better to be scared together.

Mike Takes Another Pro Bono

Mike is approached by Oscar Reyes, a grieving father who is convinced that there is more to the recent death of his incarcerated son than the prison authorities are letting on. The story touches a nerve for Mike, who gets the go-ahead from Harvey to take the case. What he uncovers is not some systemic conspiracy, though; just a prison management company too cheap to staff their facility properly. Mike prepares a lawsuit against the prison, but when his case bumps up against a conflict of interest with one of Alex’s clients, Harvey makes Mike drop the case.

Conflicts ...

Harvey’s decision to back Alex over Mike becomes a flashpoint for simmering tensions in the office. Louis argues that bowing to pressure from Alex’s client will set a dangerous precedent, but Harvey accuses Louis of letting his personal feelings about Alex’s arrival cloud his judgement. Donna becomes angry when Harvey tries to speak for her instead of letting her weigh in on the subject and Harvey ends the whole discussion by pulling rank, but not before getting one last jab in at Louis’s expense.

... And Resolutions

Harvey’s behavior makes Donna realize she owes Rachel a big apology for her own actions, and Rachel realizes she’d rather let Donna be head of the associates - win-win! Meanwhile, Mike convinces Oliver to take the Reyes case, and when Harvey finds out he makes Mike sign a promise to stay away from the case altogether. The situation leads Mike to bond with Alex, who doesn’t feel good about the whole affair, either. But while everyone is mending fences, they remained properly pissed at Harvey, especially poor Louis, who is so hurt by Harvey’s words that even a call with Dr. Lipschitz can’t calm his frazzled emotions.