So this has popped up a time or two. I think the properties are using ordinary terms to describe an extraordinary situation (probably thinking we'd not understand). If an organization has booked an entire property for their event then they should expect the entire property to be reserved for their group. They should not expect the property will give away their reserved rooms to non-group members regardless of rate paid or member status.

How would you react if you were a member of the organization that has reserved the rooms and you are told they gave your room away to someone outside the event? I suspect there would be a lot of legal talk happening about breach of contract or the such.

Waiting to the last minute (or 72 hours before) to book a room is risky at best especially for a town with a special event happening. I have used the guaranteed reservation benefit a time or two and it has gone through. I just hope it came out of excess inventory and did not actually bump someone from their room.