Crystal Field Theory (CFT) explains the color properties and magnetic characteristics of transition metal complexes by describing the bonding between ligands and metals through the splitting of d-orbitals in the presence of ligands. The striking colors of these complexes result from d-d electronic transitions, where electrons jump between split d-orbitals when excited by photons. However, CFT has limitations, including its inability to account for orbital splitting beyond d-orbitals and the order of ligands in the spectro-chemical series.