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I saw a vlogger report the same thing. He was testing out all the potential ways to "unlock" LL selections, and the only one that worked was using the first LL. When he tried letting an early LL expire, he got the same result as your friend - it didn't count as "used" and didn't unlock more selections.

Seems like Disney might be on to us and has put rules in place to prevent the tier restriction loophole strategies that worked for FP+.