If you'd passed their Intro CS class when it was C++, and they'd later switch to Java, would you have had to re-take the Intro class? I'd bet "no". Even though there'd be no difference - except that they'd collected your tuition $$$ for the class, and the bad optics.

My general experience with colleges is that "rules" are mostly for the little people. And pretty much all of them become negotiable the moment that serious money, prestige, or scandal avoidance are on the table.

(BTW - University of Michigan? I know several people who got similar crap from their CS Dept.)