Generally yes, if he's not going to play then they need to move on. Now, with that being said, Carmel is a different animal because they pump out a lot of players and could help them down the road. Nothing is ever black and white in recruiting. Most of the other schools, the staff will look at to see how the school will feed them talent later.
Scholarships are too valuable right now to tie up four years for players they already know are not good enough. I have no idea whom Coach Brohm thinks is good and not good, so that's for him to make the call.
No one is asking for a Fleck type blanket of "no previous offers will be honored." The roster currently has too many players that are not talented enough to contribute at the BIG level, so adding more will only compound the problem. I'd look for Freeman to steal at least one of the Ohio commits to Cincy as well, which opens more room for Brohm's players. Purdue already cut ties with West, so it's begun.