Having worked as a recruiter I have never heard of an offer being completely revoked for that. Are you sure they weren't just offered $85k and decided to declin

Having worked as a recruiter I have never heard of an offer being completely revoked for that. Are you sure they weren't just offered $85k and decided to decline it? If they got the $85k offer, it would have been an opportunity to negotiate and prove why they were worth the extra. It's a costly process for a company to advertise and interview multiple candidates, it's a huge waste to then fully revoke an offer to the best candidate.