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I have a feeling that section applies if none of the above would work. For example a location where BA was the one and only oneworld carrier - and there are not many of those. Among the other 9 options there is a refund option (are the other airlines cost effective for that choice?), rerouting via nearby airports and indeed the IB option.
As to whether you would have a case as far as CEDR or MCOL is concerned, I think it would depend on the specific timings involved and what could be judged to be a reasonable alternative. But essentially airlines are allowed to cancel services and rebook people on to different times, they do have to provide alternative services as well as a refund option. So in the absence of the details, I suspect you would struggle on that one. If there were very specific reasons for the timings (e.g. a cruise ship involved) and an OAL (to use the jargon) was the only realistic option then it may be another matter.