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When Squire Cass walks into the breakfast room the next morning, he greets Godfrey with typical Red House courtesy—that is, rudely.
Godfrey wants to talk. He begins with the news about Wildfire (the horse), and Squire Cass launches into a tirade about kids these days.
When he finally pauses for breath, Godfrey explains he was actually just trying to say that he'd wanted to sell the horse to make back the money that Dunstan had forced Godfrey to give him, the money that Fowler had paid as rent to Squire Cass.
Squire Cass turns a lovely shade of purple. He threatens to disinherit both of them and find a new wife to squeeze out some replacement heirs. He can't figure out why Godfrey would give Dunstan the money in the first place, and Godfrey doesn't tell him (quick refresher—secret marriage; disgrace; blackmail).
But the Squire knows there's some secret, and Godfrey—without going into detail—admits it.
The Squire, after thoroughly mocking Godfrey's character, nags him to go ahead and marry Nancy Lammeter already.