
Yes, I think
Cheryl was very uncomfortable in his pursuit & flirting with her. It showed in her body language - the putting the distance between them. Her nervously laughing off his advances as a joke.
That's why I don't believe there is something off-camera between them.
Apparently, he makes enough money to lavish her with bling, so why not? As long as there aren't other ties (that would make Cheryl uncomfortable to accept.)
I really like Cheryl. I think she is the third best choreographer on the show. (After Derek & Julianne.) She is also one of the best teachers, really highlighting her partners' uniquenesses & working with quirks. I'd hate to see her hurt by Chad as he plays her, the way he plays field passes, and we see her take time away from the show, next season, because of it.