One day, Taylor invites over a friend, Liam, who is toyed with by Chauncey; the teddy briefly turns into a monstrous bear. Jessica narrowly stops Alice from slamming her hand down onto a nail, prompting her to call child psychologist Dr. Soto. She discovers that only she and Alice can see the stuffed bear. Soto shows her footage of a past patient who used the same phrase as Alice: “Never Ever”. Alice disappears, for which Taylor blames her stepmother. Gloria tells Taylor that Chauncey was also Jessica’s childhood imaginary friend and explains that Imaginary friends are actually spirits who tether to the young and can become sinister if abandoned.