Time Frame: Summer-Winter 1905/1906
Jasper and Olivia are married, despite a bitter fued with Hetty over the wedding arrangements. Sara switches places with a look alike ruffian in order to escape Hetty's disciplinarian methods. Felix starts his own delivery service with the King horse Blackie, but a terrible accident occurs during a competition with a business rival. Felicity is invited to apply for a scholarship at Kingscourt Ladies College in Nova Scotia. In an effort to impress her fellow Kingsport peers, Felicity claims that her real parents were dead and that she was the inheritor of a vast fortune. Marilla Cuthbert dies without a will, leaving Rachel Lynde to fight for Green Gables.
Sara befriends a petty thief named Jo Pitts, who looks exactly like her. When Hetty's disciplinarian nature becomes too much for Sara to tolerate, she switches places with Jo.
Gus makes a deal with his infamous father, Abe Pike, in order to free Sara from his clutches. Jo Pitts continues to wreak havoc on the King Family and terrorizes Hetty to the point of hysteria.
Hetty resigns as school teacher after being criticized for pushing her students too hard for an upcoming history bee. An eccentric actor, Alistair Dimple, replaces Hetty and teaches the children through a method of play-acting and theatrics.
Felicity takes Janet's comb without permission to wear for a social colloquiam, but loses the family antique after an altercation with Felix. Janet believes that she has lost the comb and must endure pressure to wear the heirloom from Hetty, Olivia and Alec.
Felicity is invited to apply for a full scholarship at Kingscourt Ladies College in Nova Scotia. In an effort to impress her fellow Kingsport peers, Felicity claims that her real parents were dead and that she was the inheritor of a vast fortune.
The traveling shoe salesman, Wally Higgins, comes to Avonlea and becomes enthralled by Hetty's shoe size. Wellington Campbell claims that he owns part of King property, which sparks an inevitable conflict with Hetty.
When Marilla Cuthbert dies, Rachel Lynde must cope with her friend's passing and the full responsibility of taking care of the Keith twins. Mr. Harrison continues a long time feud with Rachel and bids to purchase Green Gables.