The Apple
support document specifically lists the "MacBook Pro (17-Inch, 2.4GHz)". Rex upgraded the processor to 2.6 GHz, and Apple argued that it wasn't covered because that specific model wasn't on the list. But it uses the same graphics chip.
My guess is that the support document was intended to cover the 2.4 GHz 17-inch MacBook Pro and build-to-order variations thereof. One of those variations is a bump to 2.6 GHz, but that's not a separate stock model. But Apple's lawyers were either ignorant or intentionally misleading in arguing that the 2.6 GHz wasn't covered.
The repair should have been covered regardless of whether he had AppleCare or not. His AppleCare had just run out, but the repair program covers machines for four years, so he was within that window.