Hardly a new problem, just worse these days. First happened to me over 30 years ago in Orange County, CA. Fortunately, I was able to go to a different rental desk - a competitor.
Over the past three decades, things have become much more hostile to customers/renters, haven't they? It seems all the obligations are from us to the rental companies. At least they didn't report the vehicle they didn't give you as stolen by you!