Steve
Mostly Harmless
I think the idea is that a towel is thrown in or the referee stopped the fight once the outcome was a foregone conclusion. If your point is that, because the person wasn't beaten to death, there was still a chance... sure... I get it. But I really believe this is a technical "chance" like Jim Carrey in Dumb and Dumber (where he says something like, "What do you think the chances of a girl like you and a guy like me... 1 in 100?" She replied, "More like 1 in a million." "So, you're saying there's a chance...."Simple question, how many competitive matches that have ended with either throwing in the towel or referee stoppage where the losing fighter was still able to continue if his life depended on it? I would guess the number is pretty high.
Technically, there's a chance that the person could continue fighting for his life, but at the point when the towel is thrown in or the referee stops the fight, it's a matter of just allowing more time to beat the loser to death.
What you're referring to is called an "early stoppage" and is very much frowned upon in boxing or in MMA. When the fighter is still intelligently defending himself (or herself) the fight should continue. It's at the point where he/she is helpless that the fight should be stopped.