George gets a severance package from the New York Yankees that equals three months' pay, so he decides to treat it as three months off. He never changes out of his pajamas or leaves his apartment, asking his friends to visit him and calling Jerry on the phone to learn what is going on. Elaine's coworker, Sam, talks to Elaine about how she isn't fitting in at work. Elaine explains to Sam that she is the subject of office ridicule because she walks without moving her arms. In a rage, Sam trashes Elaine's office and leaves her threatening phone messages. J. Peterman and the police excitedly say that she's now involved in a catfight, and refuse to help.
Jerry and Kramer go to the Tony Awards: Jerry as an invited guest, Kramer as a seat filler. Jerry picks up his date to the Tonys, a waitress named Lanette, only to find a man named Lyle living in her apartment. While Kramer fills a seat for a nominee who has stepped away, he accidentally receives a Tony Award for the musical Scarsdale Surprise, starring Raquel Welch. While Kramer is using his Tony to mingle with stars, the producers of Scarsdale Surprise confront him, and say he can only keep his Tony if he fires Raquel Welch. Like Sam, she doesn't swing her arms when she moves, but they are afraid to fire Raquel directly because of her temper. Kramer fires her and she responds by attacking him, destroying his Tony. Walking down the street afterwards, Raquel sees Elaine describing Sam's walk to police; thinking Elaine is mocking her, Raquel attacks her, too.
Under pressure from Jerry, Lanette breaks up with Lyle, but she begins to wear Jerry out with her busy lifestyle. George suggests they team up, with George acting as Jerry's "dating intern". When Lanette needs invitations to a party, George picks them up, but on the way back to his apartment he stops to play frisbee golf. At his apartment, an invitation falls out and lands on the stairs. George slips on the invitation and falls, sending him to the hospital. The doctor, who is the same doctor who informed George of Susan's death, tells George his legs were in a state of atrophy because of his inactivity, and due to the resulting trauma he may only walk again with enough hard work and perseverance. The others respond with the same apathy as they did to Susan's death. In a post-credits scene, George seems to be recovering as he participates in physiotherapy, while Sam struggles to swing her arms as she walks.