At the palace, the Sultan is laying down the law. Kind of.
The Sultan gives Jafar a talking to about the whole killing-Aladdin thing. Then, he says he hopes Jasmine and Jafar can just put all that unpleasantness behind them. What's one unjustified execution between friends?
The Sultan chases after Jasmine to discuss marriage plans, and Jafar and Iago are left to stew about not getting their hands on the lamp. Iago's also annoyed that they have to keep kissing up to the boneheaded Sultan.
Then, the bird has an idea: what if, instead of waiting for Jasmine to marry some random guy, Jafar marries her instead?
Hey, that would be a pretty clever way to become sultan. Plus, Jafar could easily get rid of his wife and father-in-law after the wedding.