How do you figure out this expression "cancel out somebody"?
RORY: You can’t throw out Hug-a-World.
LORELAI: I’m not throwing out Hug-a-World, I’m throwing out Hug-a-Canada.
RORY: I learned my seven continents on Hug-a-World, don’t you remember? We used to squeeze it as tight as we could and then wherever our pinkies would end up, that’s where we were going to go together when I grew up.
LORELAI: Yes, many a trip to Uzbekistan was planned that way.
RORY: We can clean him up and keep him, can’t we?
LORELAI: Throw him outside and I’ll see what I can do.
RORY: Thank you.
LORELAI: If I clean up Hug-a-World, does that cancel out me not getting rid of the boxers?
RORY: I’ll consider it a wash.
I don't understand what LORELAI said in the second line from the bottom of this script.
And I don't figure out RORY's last line, either.
Please help me get them.