On the January 5, 2012, episode of Impact Wrestling, Kazarian and A.J. Styles were defeated in the finals of the Wild Card Tournament by the team of Magnus and Samoa Joe, when Kazarian abandoned Styles and left the ringside area with Christopher Daniels, turning heel in the process. Over the next few weeks it became apparent that Daniels was holding something over Kazarian, with Kazarian being reluctant to do his bidding. On February 12 at Against All Odds, Kazarian defeated Styles in a singles match. On the February 23 episode of Impact Wrestling, Kazarian attacked Styles during his Television Championship match with Robbie E, allowing Robbie to retain the championship. On the following episode of Impact Wrestling, Kazarian defeated Styles in a gauntlet match; had Styles been successful, Kazarian would have to explain his alliance with Daniels. On March 18 at Victory Road, Kazarian and Daniels were defeated in a tag team match by Styles and Mr. Anderson. The rivalry continued on April 15 at Lockdown, where the two duos were on opposing teams in the annual Lethal Lockdown match. Styles' and Anderson's team, led by Garett Bischoff, ended up defeating Kazarian's and Daniels' team, led by Eric Bischoff. During Styles' absence from Impact Wrestling, Kazarian and Daniels set their sights on the TNA World Tag Team Championship, attacking champions Magnus and Samoa Joe on the April 26 episode. On the May 10 episode of Impact Wrestling, Kazarian revealed that he originally aligned himself with Daniels to keep him from revealing Styles' secret, but changed his mind after learning what the secret was. Daniels then revealed the secret, a series of photographs insinuating a relationship between Styles and TNA president Dixie Carter. Three days later at Sacrifice, Kazarian and Daniels defeated Magnus and Samoa Joe to win the TNA World Tag Team Championship, starting Kazarian's second reign with the title. Later in the event, Kazarian and Daniels cost A.J. Styles his match with Kurt Angle, who afterwards turned on the two, saving Styles from a beatdown. On June 10 at Slammiversary, Kazarian and Daniels lost the TNA World Tag Team Championship to Styles and Angle. On the June 21 episode of Impact Wrestling, Styles and Carter proved that Kazarian and Daniels had been lying about their relationship by producing a pregnant woman named Claire Lynch, whom they had been helping overcome her addictions. The following week, Kazarian teased dissension with Daniels, claiming that he had been lied to. However, in the main event of the evening, Kazarian revealed that he was still on Daniels' side, when the two defeated Styles and Angle, after Kazarian hit Styles with a steel chair, to regain the TNA World Tag Team Championship. Following the win, Daniels admitted that Styles and Carter had told the truth about Claire, but claimed that they had left out the part about Styles being the father of her unborn baby. The team, billed as "The World Tag Team Champions of the World", made their first televised title defense on the August 8 episode of Impact Wrestling, defeating Devon and Garett Bischoff. Three days later at Hardcore Justice, Kazarian unsuccessfully challenged Devon for the TNA Television Championship. On the August 23 episode of Impact Wrestling, the storyline involving Claire Lynch was concluded, when she revealed that she was not pregnant after all, while also revealing Daniels' and Kazarian's plot to blackmail Styles through her fake pregnancy. On September 6 as part of the first "Championship Thursday", Kazarian and Daniels successfully defended the TNA World Tag Team Championship against Chavo Guerrero, Jr. and Hernandez. Three days later at No Surrender, Kazarian and Daniels made another successful title defense against previous champions, A.J. Styles and Kurt Angle. On October 14 at Bound for Glory, Kazarian and Daniels lost the TNA World Tag Team Championship to Chavo Guerrero, Jr. and Hernandez in a three-way match, which also included A.J. Styles and Kurt Angle. Kazarian and Daniels received their rematch on November 11 at Turning Point, but were again defeated by Guerrero and Hernandez.