I think I know the dealer you are referring to. If it is, he is the gentleman who sold me my Grimm. He is a stand up guy and once you’ve developed a relationship with him, you will understand why he does what he does. Its rational.
For instance, (if he is who I think he is) he is typically setting up 6 figure systems and time is money. For a new customer with whom there is no relationship, returns are a serious thing. Not you nor I but many “buy” only intending to demo, return and then shop for the best price. Why dont you take your dac to his store and that way you can test your dac with the multiple server/streamers he sells?
This dealer is one of the best in the business. Full stop. Is the demo fee high? Yes. Would I pay it? Not when I’m local and demo there with my dac.
But this dealer is one of the good guys in our hobby, he is worth developing a relationship with and he is an easy recommendation. In fact, he gets a note from me once a year thanking him for the relationship we share. The other trusted dealers with who I do business do as well.