First of all, we banned vassals because there exists a bug which allows decentralized countries to gain insane manpower. This bug exists regardless of whether the vassal is an AI or player nation, hence both kinds of vassals are banned. Don't tell me that TC paid 10k to vassalize HAL to control his diplomacy or for the extra tax income, that's bullshit. Let's call a spade a spade. He did it to exploit a bug which doubled his manpower. The fact that you're the one who suggested this to them really makes me question your GMing. Even if it were legal by the letter of the rule--which it most certainly isn't--it's a definite breach of its spirit and exploitation of a very serious bug.2)
no rule is broken since that was never with players in mind, we even stil have rules in the first page about how a vassalplayer should behave.
the no vassal rule is a classic example of how rules made up on the fly was a bad idea because we forgot to think it trough and list what is allowed and isnt
you can complain all you want about this but the spirit of the rule was to end abuse from keeping a small ai arround forever to abuse it for mp
Secondly, just because the first post wasn't updated doesn't mean a violation hasn't occurred. Some examples of rules that we still have which are rendered obsolete by other rules:
Why would this rule exist explaining when it's not allowed to release vassals if they're banned altogether? Obviously, the total ban takes precedence.* Releasing one or more vassals during wartime, to hinder an enemy.
And later:*Declaring a 'fake' war on a country, with the aim to: Change the religion of a protestant or Counter-Reformed-Catholic
nation back to Catholicism before the Edict of Tolerance.
14. No claiming DOTF or converting to counter reformed Catholicism
Why do we regulate fake wars on this subject when CRC is banned altogether? Obviously, the total ban takes precedence.
The obvious way to handle player vassalization is to treat it like we treat AI vassalization. If you want to vassalize someone then you can just announce it to the game and then he has to follow all the vassalization rules for 20 years. If he wants to break it he has to DOW you and take three stabhits. If you want to force vassalize someone, then pause before you send it so the recipient can check the score, then send a stabhit for WP or MA. If the warscore is high enough and he accepts then he's your vassal for 20 years.