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On the morning of Mr. Galini's death, Spencer called the hospital he was staying at and was informed that Mr. Galini had "checked out." Spencer apparently misunderstood what the hospital was saying, and thought that Mr. Galini was okay and had been released. It wasn't until he and his sister, Carly, and Carly's friends, Sam and Freddie, arrived at the pie shop (to purchase more pies) that they learned from Mario, one of Mr. Galini's employees, that Mr. Galini had passed away.
The iCarly gang went to Mr. Galini's funeral a few days later, in the hopes of finding his pie recipes, which Trudy had told them were "in his computer," at least according to her grandfather (although Trudy was never able to find them). Spencer and Carly provided a distraction while Sam and Freddie tried to find the recipes in the computer.
During an argument, Sam and Freddie wound up knocking over the computer and breaking it. Then, Carly discovered that the pie recipes were literally hidden inside of the computer itself. With the recipes recovered, the pie shop was saved from being closed--Mario and Trudy decided to run the shop together.