I agree that DMG is in the wrong on this one. They seemed to more concerned with spectator appeal rather than riders safety. Also in the AMA rulebook it states that a rider is to hold their race line when the blue flag is presented. I do not race but I have sat in for parts of the classroom portion of the race school and although the club doesnt have a flag for being passed, the instructors still instruct the riders to hold their race line and be predictable so that the faster rider has the opportunity to safely pass.

Just my $.02 from a non racer.