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The Black Hood leaves a threatening letter for the people of Riverdale. If they keep doing wrong, they will be punished.

Penny Peabody calls in her favor. While at Pop Tate's Chock'lit Shoppe, she says that Jughead will need to pick up a crate in Greendale and deliver it to the Southside. She'll use the cut of the cash to help FP in prison.

Jughead asks Archie for help. They use Fred's truck to transport the box. The tire flattens while Archie asks Jughead about giving up being a Serpent.

A passerby gives Jughead (and the crate) a ride to Greendale for $18.

Archie sees a bloody deer walk by after AAA gives him a spare tire.

Jughead finds a dead deer in the back of the truck. The passerby tells him a tale of "The Riverdale Reaper," a man who broke into a house and shot every member of a family one by one.

The passerby tries to stick Jughead with a diner bill so that he can steal the crate. Archie arrives in time to pay for the meal and save Jughead.

Jughead and Archie deliver the crate. The clients inform them that Penny named Jughead as the new delivery boy now that the Serpents were taking over for the Ghoulies.

Archie begs Jughead to get out of the gang. Jughead says he will try.

FP is visibly fine when he visits the prison. Penny lied about FP being attacked. She recorded Jughead delivering the drugs; she blackmails him into doing future work for her.

Josie is performing late at night at school; she gets scared and leaves. Her mother chastises her for not being safer.

A studio executive wants to give Josie solo time to perform. She feels bad for writing song solo.

Chuck Clayton asks Josie out on a date and declines.

Valerie and Melody confront Josie about not telling them about the solo recording. They kick her out of the bad for withholding the truth.

Josie asks Chuck to give her a ride home and they stop at Pop Tate's Chock'lit Shoppe. Chuck says he changed, but she doesn't believe him. The two dance.

Mayor McCoy and Sheriff Keller barge into the diner. She was worried about her daughter since she didn't pick up her phone. She tells Chuck to stay away.

Mayor McCoy has started getting death threats. Her most recent letter mentioned Josie.

Cheryl and Josie find a present waiting in the music room. It's a drawing of Josie, a threatening messaging and a pig's heart.

They confront Chuck about the gift. The janitor steps in to protect them. She says that Chuck was the one who was sending the gifts.

Josie has a nightmare that The Black Hood sliced her throat.

Cheryl was the one who sent her the crazy gifts.

Betty thinks Sheriff Keller is The Black Hood; Veronica thinks he's having an affair.

Betty chats with Sheriff Keller about the crime. She's suspicious of him.

While Veronica has a sleepover at Kevin's house, she does some investigating for Betty. She finds Sheriff Keller working out in the basement.

Veronica spots Sheriff Keller leaving the house in the middle of the night. Betty thinks he killed someone at night.

Betty breaks into Kevin's house to do some snooping. She finds a case wall of photos, notes and a black hood in the drawer.  Sheriff Keller comes home early.

Sheriff Keller calls Betty's dad to debrief that he's not The Black Hood.

Betty and Veronica follow Sheriff Keller at night to a shady motel. Sheriff Keller is having an affair with Mayor McCoy.

All six friends find themselves back at the diner to debrief.

The Black Hood calls Pop's and says that everyone failed the test. "The Reckoning" will be soon upon them.

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Riverdale Season 2 Episode 7 Quotes

Betty: Veronica, I have a theory...about Sheriff Keller.
Veronica: Oh, me too. It’s obvious.
[Both speak at the same time]
Betty: He’s The Black Hood.
Veronica: He’s having an affair.
[Veronica looks at Betty confused]
Veronica: What?! Is that a joke?
Betty: I wish it were.
Veronica: Whatever crazy web you’re spinning, B. Let me break it down for you. Sheriff Keller’s wife is away, he’s failing at his job. He’s looking for comfort, sneaking around. All signs point to cheating.
Betty: Well, I don’t know. Maybe he’s having an affair and he’s The Black Hood?

Jughead: What the hell game where you playing, Penny?! You lied to me. My dad’s fine.
Penny: I incentivized you.
Jughead: No, you said this was going to be a one and done.
Penny: It’s not like you have a choice.
[She shows him the blackmail footage]
Jughead: What is it?
Penny: It’s insurance you do what I say. And if you cause a stink, or try to back out, or raise your voice to me ever again, I will make sure that video goes straight to the Sheriff’s office. God, I imagine what that’ll do to your dad’s heart. Break it, right?
Jughead: Why...why me?
Penny: FP made me a promise that he didn’t keep. And as far as I’m concerned, his debt is yours. And I’m just getting started with you.