Matt Dillon play Dally in The Outsiders.
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Matt Dillon and Diane Lane appeared in The Outsiders and Rumble Fish.
Dally (Matt Dillon)
If you mean the film adaptation of the book "The Outsiders", then the character you are speaking of is named Darry, and he was portrayed by the late Patrick Swayze.
The actor Matt Dillon is real; the character of Marshal Matt Dillon is fictional.
It starred C. Thomas Howell, Matt Dillon, Ralph Macchio, Patrick Swayze, and Rob Lowe.