The relationship between Fallon Carrington and Jeff Colby began while they were both in high school, prior to I Hardly Recognized You. They later agreed to become business partners to help found Morell Corp. and became close friends. In "I Exist Only For Me", their relationship turned into a romance and they kissed.
They have a complicated relationship. As friends and business partners, they sometimes have trouble getting along. Fallon is very ambitious and doesn't have much experience with being a "team-player", and often tries to do everything on her own, which makes Jeff feel excluded and unimportant to her. But, when they successfully work together, they produce brilliant results.
At a High School Reunion, Jeff introduced Fallon's secret boyfriend Michael to Kori Rucks. Tired of their hidden relationship, Michael breaks up with Fallon and begins an affair with Kori. Fallon then slowly opens up to Jeff in their romantic relationship and they are starting to work more as a team, as Fallon puts what she got from her estranged mother aside.
The new couple is not well received around them, especially by Michael, who thinks Jeff has an agenda. When Fallon is kidnapped, he put his suspicion away to team up with Jeff and saves her. During that time, Michael breaks with Kori and begins a new romantic relation with Monica, Jeff's sister, but finally realizes that he still has feelings for Fallon. As Fallon's close friend, Monica becomes jealous of her friendship with Michael and their own relation is put in danger.
After her kidnapping, Fallon decided to live a life for herself, privately and professionnally. She breaks up with Jeff, hoping to keep him as a friend, and wants him to redeem his shares of Morell Corp. She reconnects with Monica, who encourages her to give his brother a second chance and Fallon does. Soon after, Jeff proposes to Fallon and she accepts but the truth is that Fallon has discovered something in the meantime.
Indeed, Michael was right : Jeff has an agenda and teams up with his sister to get revenge against the Carringtons for their father's redeem, using her feelings. Knowingly the truth, Fallon pokerfaces with Jeff and accepts his proposal before coming to Michael saying that Jeff will regret to have played with her.
In Our Turn Now, Fallon and Jeff finally marry and sign contracts giving Jeff 25% shares of Carrington Atlantic if they are married. Unlike Fallon, Jeff hasn't add a wedding clause to the contracts she signs for the full ownership of Morell Corp and 25% shares of ColbyCo. After the papers signed, Fallon revealed that her Carrington shares are still hers because she married another man the day before their wedding making her union with Jeff invalid. After their marriage annulment, Jeff publicy accuses Fallon of fraud.
By the end of the first season, Fallon's late grandfather Tom Carrington is revealed to be the illegitimate father of Jeff's mother. Jeff and Fallon, the two ex-lovers who have turned enemies, are actually half-cousins.
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