That whole situation with Dillon and Sally didn't really make sense. Even if we buy that Charlie had deluded himself that they were romantically involved (and from what we're shown of him, that is entirely believable, to be fair!), it doesn't explain why Sally didn't object when he referred to her as "his girl" at the dance (and has possibly done it on numerous other occasions that we're not shown).
Then, later in the film, in their absence, someone mentions David stealing or moving in on Charlie's girl. How would they know? David and Sally had kept their relationship a secret, Dillon was the only one who found out, and given his obsession with his own perfect image, surely he'd have kept that information to himself to save face.
While it's not a plot hole, it's something I wish they'd have tidied up or been clearer on.
I agree with the OP though - David still broke the bro code
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