I too would be mightily peeved if this turns out to be true.
I hope it's not, but the 'phantom' seat charge that people are currently experiencing is similar to what happened when BA introduced YQ on US awards: for a long time this would show at one stage of the booking process but wasn't actually payable. Then, inevitably, game over.
I really hope this doesn't happen for seat selection but the omens aren't great...