If the title was amended to say $0 rates and demands to honor or award massive amounts of points in exchange for giving up the reservation, then you would have your connection to the Milesbuzz.... the OP simply left out that part of the demand equation. Thus, IMHO, the thread is appropriate for the forum, same as the other ethics threads concerning the collection of miles/points found in the buzz.
This particular email and action also rubbed me the wrong way, having 300 nights booked at $0 to me is a bit of a stretch (although I am not sure exactly why 300 is wrong but 2,3,or 6 probably wouldnt bother me so much).
Anyone think the $0 rate is a different case than the $29 paris fare? I would have no problem compelling UA to honor that fare or any other, as the airlines can't have it both ways, once you say ticket to the computer system, if you want to change a ticket, $100 fee, and forget about refunding any cheap (and legitimate fares) so why should UA be able to say no, changed my mind? But I find it a little different with a $0 hotel room, hell I might even say a $0 airline fare would be valid, scratch that, I would say it is valid. Maybe it is because the airlines treat everyone like sh*t whereas the hotels don't act quite so despicably (generally speaking of course), in my adopted homeland, they actually usually treat you incredibly well.
People making trips (just because of the rate, or otherwise) and staying a few nights, well, ok, just like some people did/planned to (I don't know how mexico turned out I stopped paying attention) go to Mexico just because of the $0 rate, that seems ok, but I wouldn't expect the hotel to house me for 300 days/nights for free.
Is it different if you planned to go for the free night versus if you just made the res. for the free night to get compensation? discuss... (because I am still thinking about this whole idea).
cheers.