Obviously you never want that to happen to your own agency and would like to think any responsible CEO / owner wouldn’t allow these situations to happen (don’t get me wrong, I appreciate mistakes do occur - but this smells very different), so unless they suffer some consequence, they’ll do it to the next unsuspecting client and keep doing so.
I disagree. (1) There is evidence that his company may profit from the redesign, and (2) he risks being sued for even the slightest mischaracterization in his blog, which requires tens of thousands to defend (at least). I don't see the point in risking the family business over this. Both parties learned a lesson. Perhaps the WebAgency will decide never to have hourly clients again.
I guess the title intro and conclusion should be changed as a review..
Or that it learnt anything more than "yes this really works for us to maximize revenue and we can get away with it".
(I do guess it's better to not name them though -- because naming them risks making actually well behaved agencies or freelancers nervous about working with the client in the future?)