It may seem like that, but we'll never know what the true circumstances of the situation. Are you arguing a client or family doesn't have a right to change their minds once they sign up with Alcor?
Alcor could have dropped the whole thing when the money was not there for a preservation: no fee/no service.
For whatever BUSINESS REASON, Alcor CHOSE to continue, waste legal fees and NOT get paid for the preservation. I'm not sure anyone "put one over on them", that was their CHOICE in this situation.
Businesses, all of them sometimes make bad choices. All they can do is learn from it and hopefully not make that mistake again.