I would be a bit annoyed if it had happened to me, but not mad enough to risk negative law enforcement contact. I would have taken the cash, hotel, and next flight out and been content. My employer would have had to figure something out to cover for me and I would be in the clear.

How could this event truly have been prevented?

Easy, Airlines must leave two entire rows of empty "jump" seats in each seating zone. Sell these seats to people who missed flights on other airlines, flight crews that need to get to a different airport etc.

This would of course probably raise the cost of airfare, but as long as no one gets bumped off their flight everyone should be fine with the price hikes.

Also stop allowing standby tickets to be sold on any airline.

And if a customer refuses to listen or adhere to flight crews direction security will no longer be called, instead that person will have a lawyer provided to them at the airlines expense so that the upset passenger who doesn't believe he's being treated "fairly" can sue the airline for hurt feelings and a chapped ass.