Nah, I liked this conclusion well enough. This allowed those two to become friends. Wendy put up a very good fight considering she's never been a fighting oriented mage.
Hardly. He has been on the run ever since the jail break. His hands are somewhat tied now because his actions would reflect badly on Fairy Tail (although since it's Fairy Tail with their infamy of outrageous behavior, I guess that's debatable), but as we saw, the council's hands were somewhat tied as well. It's kind of a status quo as long as the event is going on, but he's apparently not planning to stick around any longer anyway, so what's the difference?