<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by TravelLover:
I thought the gate agents had more flexibility in upgrading people when everyone with elite status or certs had been upgraded.</font>
I am fairly certain that the gate agents have the ability to upgrade people without certs or status, but the agent choose not to in this case (whether because they didn't feel like it or didn't feel like having to explain it).
Ultimately though, upgrades are only for confirmed reservation. avek00's explanation sounds right - no extortion - just following the rules and putting them to correct use.
And yes, elites do travel quite a bit to have things upset their travel plans. But that's what the change fee is there for.