I think he was being a chickenshit douche. As I read it, they already knew she was a lesbian as she was a member of the church, and she was not in the closet. The pastor called it off when the family continued to refuse to remove the "offending" pictures of her kissing her wife from the memorial picture slideshow display. This way, Pastor Fucknugget was setting it up to look like, "I gave them multiple warnings and every possible chance to comply up to the last minute".