Seat allocations in Frist are done in the same way as any other class cabin - based on FF preference in order of status. But as was mentioned previously, this can be changed for a number of reasons, I think normally becuase someone knows someone who has the access to do it.

Seat allocations are not based on fare paid. So a paid full fare passenger and an award passenger are allocated in the same way - and just a likley as each other to be moved!