Venk,
Thanks for a rather interesting thread. I'm not a lawyer, but I know right from wrong.
What Continental is doing is plain wrong. Something needs to be done to correct this.
Despite what the lawyers are saying on this board, I suggest you file in small claims court in Houston.
The filing fee is nominal, you'll get a lot of attention, and you may be able to drudge up a lot of info on CO's Hokey upgrade practices...BTW even though you'll probably lose in court, it will be interesting to see what info you could garner.