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Shawn Spencer comes from a family who, down the line, is full of cops, and is counted on by his father, Henry, to continue the tradition. From a very young age, Henry taught his son how to pick up on everything in his surroundings, but even though Henry has given him everything that he needs to be a detective, Shawn won't follow through. Shawn enjoys having fun far more than his natural talent for detective work, and, as a hobby, calls in tips to the police for crimes that he sees on the news.

However, the police connect Shawn's tips back to him, and he is arrested for the crime that he hinted on. Improvising in front of the force, Shawn lies that he is a psychic, and after accurately deducing his surroundings and divulging secrets for only two minutes, nearly the whole force believes him. The force then hires Shawn as a "psychic consultant". Shawn, deciding that he could get more fun and money out of life, opens his own detective agency, called PSYCH, which he runs with his best friend, Gus.

Gus appears to be a prude, someone who is tentative and reserved. After all, he has a steady job as a pharmaceutical sales rep, and he frequently watches The History Channel. However, when he gets involved with Shawn's antics, he explicitly displays his underlying need for adventure. Though he may be hesitant at first to join Shawn's schemes, he is generally willing and supportive. More importantly, Gus understands his best friend and is able to push any initial frustrations aside and work with him.

Although Shawn may be the front-runner in the psychic business, Gus has shown himself to be a valuable member of the farce. He brilliantly cooperates with Shawn's "visions" and uses his own skills to help solve the cases the two take on. With his intellect (and his self-proclaimed heightened sense of smell), he is able to pick up on things that may elude Shawn.

Henry Spencer, retired cop, has shown great disdain for Shawn's latest career path of choice. He raised his son to effectively perfect his observational skills in order to one day put those acquired abilities to good use. Seeing his son take a job as a psychic is not quite what Henry had in mind. Although he displays disappointment in the path Shawn has taken, his strained relationship with his son rests on an underlying feeling of satisfaction.

Carlton Lassiter, Head Detective of the Police Force, believes that Shawn Spencer is a wise-cracking phony, and would rather cuff Shawn than go along with a psychic vision. A veteran at the department of ten years, Carlton likes to investigate by the book, leaving little to no tolerance for Shawn's claims as a psychic and his fake visions.

Juliet O'Hara is Junior Detective at SBPD and the newly-assigned partner to Detective Lassiter. Like Lassiter, Juliet is very good at what she does. However, when personalities are juxtaposed, Juliet is clearly the more agreeable of the two. She is quite amused by Shawn's "psychic powers" and sometimes shows great amazement at the conclusions he manages to draw from them. Though she may not fully believe his act, she is open-minded enough to accept it.

Karen Vick works with Lassiter and Juliet as the Interim Police Chief. She was able to see Shawn's psychic act firsthand after almost arresting him due to a misunderstanding. When it comes to his psychic visions, she is definitely skeptical. However, she weighs the overall outcome more heavily than she does the method used to arrive at the correct conclusion. For her, it's all about getting results and solving cases.