Buddy hops a freight to Florida. In an empty boxcar, he meets Norman Klute. Norman listens to Buddy's problems, and comes up with an idea: if Mr. D. thought Buddy was dead, he could stop running. They devise a plan: The Death of Buddy Overstreet. And so, Norman goes to Devere Enterprises in New York.

Norman goes to Mr. D'.s office, where he is met by Mr. D., Junior, Wendell and Harry. When Norman says he knows where Buddy Overstreet is, Mr. D. has him relax in an upholstered chair; but then clamps snap over his wrists, a light comes down to his head to give him the 3rd degree, and Wendell and Harry hold guns to his head. After they question him, Mr. D. turns him loose. Norman will kill Buddy, (he says). Mr. D. gives his word to pay him $3,000 C.O.D. -- Cash On Demise.

Norman Klute meets with Buddy in Florida. They make a film of Buddy's death, and Norman takes Buddy's wristwatch as proof. Then Norman goes back to New York, to meet with Mr. D. and his associates. In Mr. D.'s