I don't think it changes anything about this situation, but UA 6060 is a UX flight. The agent who issued the improper upgrade was probably a UX (Skywest) agent and may have made an honest mistake. Most UX denied boarding compensations involve an "upgrade to first class on a later flight and a free ticket to anywhere United flies." I've heard that spiel many times. For the vast majority of cases of domestic travel, it is correct because most domestic flights are on 2-class aircraft and the upgrade would be a legal 1-class bump-up. I can see a harried UX agent reverting to habit and making this sort of mistake in an honest attempt to solve a problem and reward the customer for his agreement. What is infuriating is the IFL agent taking the initiative to "correct" the error at the expense of the customer.
JR