Devastated by Tom's death, Captain Baines blames Onedin for hectoring the boy into running away and joining the 'Sea Spray'. With no ship of his own he allows Van Der Rheede to bail him out but Van Der Rheede, holding Onedin responsible for his brother's death, is determined to break him and plants a stolen necklace, acquired from Betsy, a fence, on James Onedin's ship. He arranges for Betsy to be sent away and James is arrested and sent for trial. The family suspect Van Der Rheede and Elizabeth accuses him to his face but they can do nothing.