@Alice-and-Jeff0 @Vanessa-and-Kurt0 @@Lizzie
update: just received this note from CS
"Hi Kelly,
Thanks for letting us know about the reservation that you have cancelled with your guests.
I do apologize for the confusion that it has caused you, but like what I have mentioned during our conversation you're understanding is right based on the information in our Help Center https://www.airbnb.com/help/article/990/i-m-a-host--what-penalties-apply-if-i-need-to-cancel-a-reser...
The system is only defaulted three times in cancelling a reservation. With this, will be needing to contact us to cancel the reservation for you.
Please let me know if you need further assistance."
so in other words, the help article is wrong, hosts may not cancel rule breaking reservations but rather must CALL CS to let Them cancel reservations as needed.