In a sense, yes. The system will always allow you to reclaim a title from the list. The problem is that once you delete the quiz once (or abandon the challenge once) the system always believes that you do not want to complete that challenge, so when the site does its daily maintenance, it will make its checks and remove the challenge designation from your quiz. The only way around it would be to rename the challenge quiz, which kind of goes against the rules, so that the system believes you're writing something else.
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