After Jake's plan for taking over Cory failed, he brought forth allegations that Mac blackmailed Carl and Ian's fathers for the areas of rainforest they owned to begin Cory. Carl and Rachel teamed up to prove that his accusations were false. Rachel resigned from Cory Publishing and went to New York. Carl followed her; she realized this and went to stay at the apartment above Loretta's beauty parlor. Carl went to visit Rachel and she almost cut off is ponytail in anger.
In December, as Carl and Rachel grew closer, Rachel told him the only wish she had was for Mac's name to be cleared, Carl was upset by that, but he promised to help her do that. Carl got scared when Rachel was mugged near Loretta's shop. After she was released from the hospital he took her to his hotel suite. He took her on a tour of New York City. On New Year's Eve they shared their first kiss at midnight.
Carl offered to set up an Art show for Rachel. She and Carl kissed just as Jake and Paulina almost found them together. They slipped into his hotel room and almost slept together. Jake and Paulina later followed Carl to Loretta's shop, where Carl confessed to Loretta he was falling in love with Rachel. Rachel overheard their discussion. Carl decided to send Paulina a note, instead of the letter of Mac's while she was in South America.
In February, Carl proposed to Rachel, and he gave her the letter of Mac's he had saved, which told them that Mac had bought the land legally from Carl's father, and that Mac gave it back to the people of San Cristabol. Carl disappeared afterwards.
Rachel found Carl trying to board a cruise ship, and she admitted her feelings for him. They attended the Winter Masquerade ball together, which stunned the others. After they returned to the hotel, they made love for the first time.
Carl began to consider proposing to her. He told her he didn't think she was ready to be with him and she got angry, but later explained to Felicia, she's falling in love with him too, but she can't let go of Mac's love for her. Rachel decided to announce to Cory Publishing that she was making Carl CEO. Jake believed that using their relationship against them could be beneficial to his latest plans.
Carl finally proposed to her in April 1994, which a vindictive Iris ruined in her scheme to keep them apart. Rachel thought about his proposal. They both began considering their future together. Iris thought Carl stole a drug to help Paulina and then ran off, Rachel helped him prove he hadn't stole it when he returned. After that was cleared away, Carl and Rachel told the Cory family they were engaged. They began to plan their wedding for June, while Carl felt Rachel may be in danger and asked Loretta to watch her back. Carl saved Rachel from a falling sculpture, while they were on a rooftop.
Carl began receiving more death threats, so he changed his will, giving Rachel his Cory stock, she did the same for him. As they prepared for the wedding, Carl gave Rachel a gun for protection. Jake discovered Iris was behind the threats on Carl, but it was too late. As their wedding began, Carl was shot and injured. He survived the bullet and while he was in a coma, Ryan called him "Father", which surprised and delighted Rachel.
Carl woke up from his coma with amnesia. He didn't remember anyone. Rachel promptly decided to try and get Carl to fall for her again. Rachel couldn't get him to remember after providing him with the things he loved. He left the hospital and surprised Iris by turning up in her apartment and flirting, and trying to romance her. They kissed later, and then Iris tried to find out if he knew it was her that shot him by hypnotizing him.
When he later remembered he told Rachel and her family that it was Iris who had shot him. Carl left town, as Iris was charged with his attempted murder. Rachel discussed with him about playing the amnesia until the person behind the threats to them was found.
In August, they finally decided to elope, the ceremony took place, their families, and came to share their wedding day with them. Evan arranged for Rachel and Carl to be followed. Evan plotted against Ryan and Carl. Carl didn't want Rachel to find out about his prior counterfeit operation, and she realized something was up when he ended their honeymoon early.
He finally gave in, and felt it was better to tell her everything about his dealings. Carl suspected someone was working to have Ryan kicked off the Police Force. Carl started to believe Evan was behind the plot to bring Ryan and him down. Rachel left to New York to try and help Carl prove Evan's actions. Rachel researched Evan's past and learned of his evil history. Amanda was paralyzed in a car accident caused by Carl's manservant, Ito. Carl didn't know how to tell her, so Evan beat him to it, and Rachel told Carl to leave her. Carl was arrested, and Ryan was forced to ask Rachel to testify against him. Carl finally confessed to Rachel he didn't hit Amanda, and she told him her feelings hadn't changed and they got back together.
In 1995, Grant was "shot", for a short time both Rachel and Carl became suspects. Rachel demanded Carl tell her about Justine. Justine began spying on Carl and Rachel together. Justine began investigating their relationship. Spencer tried to explain to Carl and Ryan; Justine was trying to kill him. He returned from a trip to NY and the mansion was broken into, Carl was hit over the head and knocked out, while Justine kidnapped Rachel and switched places with her.
Carl was scared of "Rachel's" personality change. "Rachel" began provoking arguments with Amanda, just so Carl would be forced to break them up. "Rachel" succeeded in seducing Carl, and that was when he realized she was Justine, because of the scars on her wrists. Carl and Ryan decided to keep quiet about the fact they knew Justine was alive, and pretending to be Rachel. Ryan began covering for Carl as he searched for Justine. They discovered Christophe was helping Justine, and they had to stop him and Justine from any plot they were going to take out against Rachel. Rachel tried to get to a computer to relay a message through to Carl, to save her.
Carl discovered Rachel was being held in a Swiss Sanitarium, from her computer message. Justine tried to seduce him again, but he refused her. He found out that Justine had been stealing Rachel's money. Carl managed to sneak into the institution by acting as if he had mental condition. Carl found out that Justine was ready to have Rachel killed.
Carl saved Rachel and they escaped. He explained to her the plans Justine had for her, as they were escaping on a train. Rachel was hidden at BCUH and Carl went back to Justine so he could have her arrested. Justine escaped and he and Ryan were onto her trail. Rachel followed Justine to the train tracks where she was trying to leave Bay City with Kirkland. Ryan arrived at the train trestle, Justine shoved Rachel off the trestle and Grant shot Ryan.
Justine was "dead", but Rachel felt that Carl still couldn't get Justine out of his mind. Ryan died in the hospital and Carl began his obsession to have Grant locked up for his murder. Rachel suffered local amnesia and she couldn't remember who shot Ryan, which angered Carl and he demanded she remember. Justine returned from her hideout in Canada, and threatened Carl and Rachel once again.
Justine planted a bomb in Stephen's truck and planned to blow it up at the hospital gala, she didn't succeed. She proceeded to go to the Cory mansion, and provoke Rachel and Carl, by telling Rachel about how she seduced Carl, and that he didn't notice that she wasn't Rachel. She then knocked Carl unconscious, and attempted to kill Rachel. Carl woke up and stabbed her to death.
1996, Ryan's death finally consumed Carl and he was arrested while at Ryan's grave for trespassing, and for resisting arrest. Rachel was terrified he had taken his obsession so far, and had him hospitalized. Carl began to improve and Rachel finally told the police it was Grant who had shot Ryan.
Carl worked with Vicky to try and get Grant to confess to killing Ryan and he began lying to Rachel about what he was doing. Rachel told Carl he must tell her about what he's doing and not to keep secrets about Justine, and she wanted to help him get over his obsession with Grant.
During Grant's prison stay, Carl, as a "guard", was going to try and kill him when the prison riot (he arranged) was occurring. Carl's plan failed. By now, another enemy of Carl's had returned to Bay City, Blair Baker a.k.a. "Cobra", who threatened to expose her past with him. Carl went back to getting rid of Blair though, and sent a snake to her hotel room, as a warning. A few months later when Blair was murdered Carl expressed that he was relieved.
Carl was furious when Grant tried to get custody of Kirkland, so he hired Rafael to kill him, but instead he gave Rafael blanks. Rachel admitted to Carl that she had let Grant visit with his son. Grant showed some remorse by visiting the trestle and asking for forgiveness and another chance. Carl decided he might not be such a threat to them after all. He felt he needed to tell Rachel what he had been involved with Blair in, and left to Chicago and came back with the truth for Rachel.
In September, Carl met Bobby Reno for the first time and felt and immediate connection to him. Vicky told Carl that Bobby was the person who received Ryan's corneas. Rachel advised Bobby that Carl might start using him as a replacement for Ryan. Carl went back to his plot against Grant, and publicly told Bay City, it was Grant who killed Ryan, and then stabbed him with a fake dagger at Vicky's Halloween Party. Carl made Rafael leave town, and Maggie chose to go with him.
Grant came to the Cory mansion and worked to convince Rachel, that Carl was still trying to kill him. Rachel can't believe that he had done that but he later apologized and they made love. Carl was on an outing with Stephen to the train depot, when Grant arrived and proceeded to provoke Carl into a fight. Steven went to try and stop them and almost got killed by an oncoming train. Ryan's spirit saved him. Rachel kicked Carl out of the house, for not giving up on Grant, and endangering Steven. They spent thanksgiving and Christmas separately. They briefly saw each other during New Years Eve, but it was because Carl tricked her into visiting him, Steven and Kirkland.
In January, Carl wanted to investigate what was wrong with Rachel after she experienced dizzy spells, and fainted a few times. Carl tried to learn from Felicia and John what was going on, but they didn't know. After Rachel faints in Matt's arms, Carl follows them to the hospital, where she learns she is pregnant. She makes John promise not to tell Carl or anyone about the baby. Carl is hurt and when they see each other at Sassy's later, he asks if he was the cause of her "illness", she left without giving him an answer.
Carl decided to break in to Dr.Hudson's office and find out what Rachel is hiding from him once and for all. John changed the results and he doesn't learn what her secret is. Carl refuses to give up after she tells him to not worry about her "condition". Bay City is told that Vicky and Bobby were killed in an explosion, Carl can't handle that and returns to Ryan's grave where Rachel tries to comfort him, and almost tells him about the baby.
Carl finds out they survived and rushes them to an out of town clinic. Carl tried to rest, knowing they were safe, when Ryan came to him in a dream. Ryan explained to Carl he couldn't give up, Ryan told him he loved him and disappeared just as Rachel felt their baby move. Carl showed up at Gabe's funeral, with a gun, accusing Grant of trying to murder Vicky and Bobby. He didn't kill Grant, but was furious the BCPD wouldn't listen to his claim.
Rachel calls Carl, and asks him to meet with her. Their original meeting got interrupted and he met her back at the mansion. Rachel told Carl she was pregnant, he was overjoyed that he was going to be a Dad again. He realized how long she had kept it from him, and he didn't think she trusted him and walked out on her. Carl took off to Key West. Rachel finds him, but he believes she wants a divorce. She apologizes and they spend a romantic evening discussing their future together and with their new baby.
Carl dresses up as Justine to deceive a drugged Grant into saying that he had planted the bomb that blew up Bobby's truck. It worked and they got the confession. Carl and Jake edited the tape and gave it to the BCPD. Carl was questioned, and quickly left for an appointment with Rachel. Carl and Rachel listened to their baby's heartbeat and were told the baby was healthy.
Grant finally realized it was Carl who drugged him and was Justine, so he went and stole the antidote during a romantic evening Carl had set up for Rachel. They were in the bedroom and Carl was trying to convince the baby to move again so he could feel it. But Grant wanted pay back and slipped him some of the drug, which sent Carl to the hospital and ruined their plans. Carl realized that Grant had known who killed Gabe and offered him a pay off and protection if he would tell him. Grant revealed it had been Commissioner Raines. Raines escaped and took Rachel and Paulina hostage as Carl watched on helplessly. They were released and Rachel was hospitalized. Carl and Rachel learned she had a tumor, which may cost her, her life and or the baby's unless she terminated the pregnancy. They also learned that their baby was a boy.
Despite Carl and her family's views, she decided she was going to fight and keep the baby. Carl made a deal with the devil in order to try and save her life at the same time she made her decision. He supported her, but was terrified of losing her. His frustrations with Amanda led to an argument, which sent Rachel to the hospital and surgery. John told Carl they had discovered Rachel is having twins. Carl was elated.
She was released and Carl went to New Orleans to get Shane/Bobby out of prison. Rachel followed them to Key West, where she fell and made her go into labor. Shane had to deliver Elizabeth and Cory in an emergency C-section. They returned to Bay City a few days later and learned that Rachel's tumor had been benign. By July, both of the babies were home, and Carl and Rachel planned and had their Christening. Carl and Rachel began their lives with their new family.
As fall, came around Matthew, Amanda and their new found friend, and Carl's old enemy began plotting to break them up. They created Hadley Prescott a.k.a. Amanda; to be Carl's supposed Mistress. They created and scattered fake evidence, which tested Rachel's belief in Carl. He convinced her it was a lie, and he would never do that to her.
Nikos decided to take his plot further by kidnapping and trying to kill Rachel in a church demolition. Carl went in to save her, the church exploded and he was told she died. He was hospitalized, and heart broken. Nikos finally returned Rachel to a shocked and delighted Carl. They were safe, and spent the holidays together with the babies.
In the New Year, Carl planned a trap for Nikos, with the help of Rachel, Felicia and Cass. The trap was set until Matt, intervened and made Carl become Nikos hostage, in exchange for not killing Matt. Carl secretly bought a gun and a bomb onto Nikos jet. Carl shot Nikos just as the bomb went off. They both survived; Nikos came back to Bay City, trying to switch identities with Carl. Nikos finally met his demise when Rachel killed him in order to save Carl's life.
Carl learned Rachel knew that Amanda had been Hadley, he was hurt she kept it from him and left her for a few weeks. When her returned more problems arose when Chris Chapin (Nancy's boyfriend from the 80's) turned up dead, in an apparent suicide. Amanda and Matt believed Carl was responsible for his death somehow. Carl began obsessing about Mac Cory, which was supposedly linked to a problem in his brain. Rachel and Carl planned on leaving Bay City to get away from their problems there. The night before they left, Carl saved Rachel from a hit man trying to kill her, by taking the bullet. He supposedly killed in an explosion in the ICU wing of BCUH, but he was last seen getting on a plane.