"Nashville" returned on Wednesday with tragedy, controversy and a guest appearance from a major pop star.

In "I'll Keep Climbing," it's revealed that Peggy (Kimberly Williams-Paisley) has died. It's believed that the man who killed her was aiming for Teddy (Eric Close), but some facts about the shooting do not compute. The gunman committed the crime out of anger about losing his job, but Teddy was not the mayor when the man became unemployed.

Teddy begins to worry that he and his family is still in danger, so he distances himself from the girls for their own safety.

Meanwhile, protestors continue to badger Juliette (Hayden Panettiere), and one throws black paint on her.

When one protestor makes insulting remarks about Juliette's mother, she defends herself, but her words are taken out of context. Paparazzi edit the video to make it sound like she's saying "there is no god," which causes an uproar. More and more fans begin to turn on the troubled country princess, so Juliette turns to her rival, Layla (Aubrey Peeples) for help.

After some bribing, Layla agrees to hold a press conference to set the record straight. She says that Juliette really said "there is not god that would listen to a crackpot like you." Even though Layla delivered the truth, Juliette still cries while watching television footage of people burning pictures of her.

As for Rayna (Connie Britton), she officially launches Highway 65. Rayna wants "Better Days" to be her album's first single, but after sending the song to some experts, she learns that Jeff (Oliver Hudson) may have been right that the song is not good enough for release. She goes back to square one, and is reminded of how easy it was for her to write with Deacon (Charles Esten).

Deacon is also having trouble writing music, as he is only used to writing when he is miserable. But then Maddie (Lennon Stella) comes over, and they write a great song together. They perform it for Rayna, with Deacon looking into Rayna's eyes the whole time.

Meanwhile, Gunnar (Sam Palladio) finds a dejected Will (Chris Carmack) at a campsite after his failed suicide attempt. Will tells Gunnar how hard it is to be gay in the country music industry, and Gunnar makes Will promise to call him if he becomes depressed again.

Kelly Clarkson guest stars as herself, and hears a wonderful performance from Gunnar and Scarlett (Clare Bowen). Kelly asks them to write for her, but Scarlett declines, saying they can't write together. Gunnar is irate at the missed opportunity.

Gunnar later exchanges "I love yous" with Zoey (Chaley Rose), and Scarlett and Avery (Jonathan Jackson) fight over his obvious feelings for Juliette. Scarlett then packs her bags and boards a bus.

On the next episode, "Just For What I Am," "Scarlett's career is on fire as she sings 'Free' in concert with Zac Brown (guest-starring as himself), but the demands of fame are burning her out. Rayna asks Deacon to help write a much-needed hit for her new album, and it's like old times - perhaps too much. Concert venues are dropping from Juliette's tour and Jeff, her label head, is furious, and Zoey is bruised by Gunnar's inattention when he gets an invitation to co-write from Jay DeMarcus of Rascal Flatts (guest-starring as himself)."

Watch the promo for "Just For What I Am" below, which airs Wednesday, Jan. 22 at 10 p.m. on ABC.