While I agree with alc's observation that the OP is probably a drive-by and won't be back to read the replies, other people may hit this thread so the discussion is worth it.

OP and other inexperienced points-holders think seats should be available for upgrade because there are seats for sale on the website. The booking website shows how any seats are available to sell. For money. I am certainly not a pro at redeeming or upgrading but thanks to FT, I now understand that only a fraction of the seats in premium categories (J, PY) are designated as available for upgrade, in the same way as only a fraction of the seats (J, PY, Y) are available for redemption for award seats. At the time the person looks to redeem points, the available fraction of seats may have already been booked by people who made those requests earlier. This isn't a "blackout" - it's running out of available upgrade or award seats.

To see how many seats are available to upgrade from an economy booking or redeem as an award booking, the OP would need to look at Expert Flyer for the appropriate codes. Others can provide the specific codes. Based on the OP's results, those codes are likely at zero, hence the unsatisfactory outcome that prompted the outrage.

However, when people post long diatribes with histrionic thread title and boldface subtitles, it seems very unlikely that they are really here to learn, and more probable that they just want to rant because they did not get what they wanted. It would be refreshing to be proven wrong.