For me, what makes this situation bad is the idea that someone who wins an election for a lordship isn't the rightful lord. Of course they are, they won the election! Making claims to the contrary is an example of "RP trumps mechanics". That's not acceptable.
Fortunately, that did not happen. What happened was this:
He was never appointed there to hold a position. He was elected and ordered to leave. Call it another name if you want, but he's not a placeholder, just a victim of a crazy Duke with power in his old head accomplishing the laws of his old realm.