Dear joezim007
In order to choose a character to perform an action that requires exhaustion it has to be ready in the first place, if it is and you do choose it, then his ability (Beorn) or LoV ability trigers. I don't know its just seems to be very clear to me and to many people as well. If it was a common misunderstanding would have been including in the FAQ long ago (Beron and LoV are not as recent cards) i guess.
You say "In order to choose a character to perform an action that requires exhaustion"... but according to LoV and Beorn, the action does not require exhaustion. That's the point.