He's also effectively selling preferred access to classes, which is something of an ethical issue.
And many universities handle waitlisting on a department or class level so they have leeway to deal with various factors as appropriate. Ever tried to implement university, departmental, program, and class policies simultaneously, while keeping them up-to-date, while handling who can override the computer under what amalgam of policies? No? Well, that's what you'd need to do in order to get automated waitlisting working at most universities.
The fact that there's not a university-level waitlisting feature isn't an excuse to hack around policy, especially not while violating ToS and misappropriating resources for commercial resale.
And many universities handle waitlisting on a department or class level so they have leeway to deal with various factors as appropriate. Ever tried to implement university, departmental, program, and class policies simultaneously, while keeping them up-to-date, while handling who can override the computer under what amalgam of policies? No? Well, that's what you'd need to do in order to get automated waitlisting working at most universities.
The fact that there's not a university-level waitlisting feature isn't an excuse to hack around policy, especially not while violating ToS and misappropriating resources for commercial resale.