At the crux of the matter is that this particular individual student is now influencing policy that extends across the entire school. What makes is more unsettling is that he knew via the course outline that an in-person meeting with other students was a requirement.
It is remarkable that the senior admin at York were so easily cowed into PC compliance by the simple statement that his religion was 'offended'.
It is remarkable considering the kid accepted his Prof's refusal to accommodate and the kid attended the mixed class and did the assignment. He also stated that he felt that it was handled well. So the only ones making a big deal about this whole thing IS the University Dean and the other admins.