In a skillet over medium heat, cook the sausage until browned and cooked through, about 5-7 minutes. Remove from the skillet and set aside.
In the same skillet, crack the egg and season with salt and pepper. Cook until the whites are set but the yolk is still runny, about 3-4 minutes. Remove from the skillet.
Butter one side of each slice of bread. Place one slice, butter-side down, in the skillet over medium heat.
Layer one slice of cheddar cheese on the bread in the skillet, followed by the cooked sausage and the fried egg. Top with the second slice of cheddar cheese.
Place the second slice of bread, butter-side up, on top of the cheese. Grill until the bottom slice is golden brown, about 3-4 minutes.
Carefully flip the sandwich and grill the other side until golden brown and the cheese is melted, about another 3-4 minutes.
Remove the grilled cheese from the skillet, let it cool for a minute, then slice in half and serve immediately.