Which seems like a good policy for cross-community content in general to me. One minor quibble though:Does it count for PPV/title eligibility? I don't think it should. Can we use it to add to a character's official record? I lean no here too.
While I don't think this has been given as explicit policy, my assumption is LAW titles can only change hands as a result of LAW threads written by the champion's author and their partners (or Winner fiat if circumstances call for it). If I'm wrong on this, others can correct me.titles from LAW can be defended on WFPW shows and vice versa, but those matches usually end up with the champion retaining and even then, they would be very rare.
I imagine a title holder could choose to use a WFPW show as a setting for a LAW thread if Winner and everyone involved signed off on it, and I'm guessing that's what you were describing here, but just to be clear I don't imagine it would be kosher for a title to change hands as a result of a cross-canonical story done any other way.