Was Jane implying that Lisbon's in love with him?
Yes, of course, it’s obvious he knows she has feelings for him.
No, he was just teasing, she would have reacted more strongly otherwise.
Jane was serious, but Lisbon thought he was just joking around.
Jane knows he and Lisbon are dangerously close; hence comparison to the teacher.
This is being blown way out of proportion, they're just two friends kidding around.
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