Here is a tip, if you tell someone to go google something, you are being rude. =)
No other comments need to be said as you guys ignored 100% of the point of my original comment.
I think we understood your point that the GM can say no. No one thinks that the "Yes, and.." philosophy is absolute (and Obi Wan taught us about absolutes). We just could not understand your reasoning for the veto call you made in the given example. That's why the response to your example was as overwhelming as it was.