Maybe the wording came out wrong, but I believe the intent there was for the player who fled the engagement not to be allowed to re-engage their original foes during the period of four hours as if they had been killed. I do concur, though, that's not what's written there.
So, as far as the rules to the letter go, you're right, there's no violation in that scenario you've described when you take the rules you've mentioned into account. I'll take a second look at our PvP rules just to check I'm not missing something, but from that I'd say you're right.