Yes it can be done on the diagonal, the join will be in exactly the same place as where it is now. I don't see how laying it pattern diagonally makes the join suddenly ugly. I think the guys can't do what you want because they are cowboys. Obviously it would cost slightly more to have it done this way but not what was quoted. The lino will be stuck at the join regardless.
1.You can demand a refund as they did not do what they were contracted to do. This could take time and cause lots of stress for you. "the company said if i wasn't happy they would take it up and replace with something else.",
2. You could stick with the lino get the guy to sort out the bumps etc, but if it's not wall to wall because they cut it wrong, then you are entitled to a replacement free of charge. but then the skirting might hide it? This would be the least stressful, at least you'd have the lino you chose even if it's the wrong way.
That way you'd be rid of them and could move forward, whilst giving them glowing references that they don't want ;)
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