Hey ScottThroughout the 70's and early 80's MSG title defenses from Bruno & Backlund were stopped numerous times because the champ was bleeding too much. The champs always came back the next month to win clean. However, in what world of fighting would the champ keep him belt because he was getting his butt kicked so badly. What sense do this make?
Ah, but you misunderstand the heat. It's not that the heel beat up Bruno badly that he couldn't continue. Of course he can continue! He's goddamned Bruno Sammartino! It's that the referee and doctor and athletic commission all fucked him over by stopping the match prematurely when he CLEARLY had the bad guy where he wanted him. See also: Luger/Flair 88 and Von Erich/Lawler.
Also, the rules are clear: Titles change hands by pinfall or submission, not ref stoppage or blood. Unless they do, because wrestling.