In my opinion, you should have to do all of your processing before NSD, and only be able to hand out as many scholarships as you have available in your 85 limit.
At least he would have to cut 10+ kids in less than a month after the season ends, making the process a little more obvious than how he cuts 1-2 kids every month or so after taking them through spring tryouts.
That would be all warm and fuzzy and shit, IF all the croots this time of year were fully qualified, and assured of getting in school. Some still have tests to pass, and NCAA clearinghouse hurdles. Also scholarships are not officially "given out" until they are enrolled in school and sign their Grant in Aid. I don't know the rules on eligibility if a kid signs a LOI, but never sets foot on campus. (We all know how it works for guys like Grant and Blakely...they show up and participate in any way, and they've got to sit out a season.) If a kid doesn't qualify, then he's released from his LOI. But I don't know what happens if he's qualified, signs an LOI, but just decides to say "fuck it, I changed my mind". (Don't know the NCAA rules...I know the school has to give him his release to play elsewhere.)
Anyway, as has been stated, unless a school has adopted the stance that Auburn has, of guaranteed 4 years, it's renewable each season, and every kid knows it. If you're at turdscaloser, and you're a scholarship Jr. running 5th on the depth chart, you probably know you're going to suddenly develop an injury or other health problem that will cost you your ride. It's big business, it's not against the rules. Auburn chooses the moral high road on this issue; bammer has won 3 of the last 4 BCS titles while choosing to process "dead weight" on the roster.