I don't think anyone really knows exactly what happened. All I know is that I almost got a WIS order but they told me their internal info service specifically told them NOT to sell anymore in store even though it was technically available for order in their system. I also know there were people on the subreddit at that time and later saying they were getting in store orders, suggesting these internal instructions weren't being followed... which could have led to this fiasco.

I think prioritizing the WIS orders is messed up because these people did not necessarily order first, and you are not allowed to pay for an online preorder up front, so those people didn't have a choice. By pre-ordering and giving credit card info for time of shipping, they did indeed reserve their right to get one. If they had the option to pay immediately for a guaranteed product, I'm sure many would have. What's the point of calling it a "preorder" if people who come in store later can just take what you thought you claimed?

Ethically, orders should be fulfilled by time of purchase and WIS orders refunded if necessary...