The third option is they don't belong to anybody. Make those reservations without an FF number on them. If you can't get them....no sense in anybody enjoying them. Of course, if they are insisting on making the reservations that may not be possible.

I worked for a company that did that, where any points you earned flying with them had to be theirs.

Either way, it's certainly something you want to work out in advance, and not try to deal with later.