There was a local favorite restaurant in Grand Rapids, Michigan that served up fantastic fried chicken. Unfortunately, the restaurant closed some years back and the recipe wasn't posted. Bea Marston of Grand Rapids, provided this recipe on MLIVE.
In bowl, stir together flour, pepper, salt and thyme; set aside. In a small bowl, whisk together water and egg; set aside. Place enough vegetable oil in a heavy frying pan to measure 1 inch. Heat to 350 degrees.
One at a time, dip chicken pieces into egg mixture, then into flour mixture. Carefully place in oil, do not crowd pieces; cook for 15 minutes. Turn with tongs and cook for 10 minutes more. For larger pieces, cook an additional 5 minutes. Place chicken on paper towel to drain. Discard 90 percent of oil in frying pan. Save remaining 10 percent of pan drippings for gravy.
For gravy, sprinkle flour into pan drippings. Cook on medium-high heat till light brown. Add milk, pepper and salt. With a wooden spoon, scrape up the browned bits on the bottom of the pan. Use whisk to stir until smooth.
Gravy will thicken as it cooks (add a little milk if too thick). Serve hot with fried chicken.