As someone who rarely flies paid premium classes, I agree that paid F should give priority over upgraders such as myself. I recently flew FRA-SFO on an upgraded Q fare and my seatmate was full fare with no status. I was asked only about my first choice, he was asked also about a second choice (he finally got his first choice). I thought that was rather unfair.

In the particular case related by the OP, it's likely that the 7 UGS were also on paid F, and since status would then be the tie-breaker, he wouldn't have had his meal choice either.

The problem is the attitude of the FA (You're just a 1K so you get what's leftover), not that on this particular flight the OP didn't get his meal choice.