Grandpa's sister in law is being forced out of their home by a government project. The Waltons go to their land to help defend the homestead. John-Boy is torn between his ideals and the family loyalty.
John Boy and his mule aim to get the Walton family name on a local race's trophy for the first time since Grandpa won the race years ago. It seems to be a sure victory until a well-to-do college mate and his thoroughbred racehorse enter.
John Boy tutors another person on a scholarship. He cheats during test and has to be turned in. John Boy acts as his lawyer to keep him in college rather than be expelled.
A mountain man moves his family back to Walton's Mountain. The family members (except the father) are city folks and do not enjoy the mountains. Spoiled brats, they try to show the Waltons they are country hicks.
The publication of John Boy's book of short stories gives John-Boy a swelled-head and overshadows Jason's debut as a musician. Complications arise because of that.
An elderly former neighbor comes back to Walton's Mountain to live. Everyone helps get the house ready for his wife's return, but strange circumstances surround the visit.
John's unmarried cousin Corabeth Walton (Ronnie Claire Edwards) comes for a visit after the death of her mother. Ike Godsey takes a liking to her and decides he is tired of the bachelor life.
John wants to expand the mill and call it Walton and Sons, but Jason wants to study music. He tries to get a scholarship. John-Boy is told he should write a novel.
John Boy's story, if published, may devastate Emily Baldwin. Grandpa wins a statue at a raffle. The statue resembles his old girlfriend, and Grandma does not like having it around.
Ben and Jason's relationship is strained when Ben suggests Jason hire a girl who Ben likes, Sally Ann (Erin Moran), to sing his new song with him in Bobby Bigelow's band. The plan backfires on Ben when Sally falls for Jason instead.