You were correct to walk away from this plant. The answer you got is as ambiguous as you thought it was. The seller either wanted to be evasive or he has no clue what registration is.
As to registering the cross (if it is not registered already. Remember crosses are only registered one time. From there on the name applies to all crosses of the same parents without regard to pollen and capsule parent) only the owner of the seedlings when the cross first blooms can register the cross (the originator). Although someone else can do so with written permission from the originator, that's not too satisfying because if he won't register it why trust him to give you permission.
As to showing it, I'm not certain about entering it in a show for ribbon judging. However for awards judging (AOS judging at a show or judging center), you can have it judged and possibly awarded provisionally, BUT before the award will be granted the cross must be registered. So if you can't get the cross registered you can't complete the award process.
You did right. Good job.
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