i translate too (because I didn't understand the world "example").
If he was at lv 40, it is possible that he was in the top of the server so there weren't enough teams to create a higher lv league.
If he was at position 7 or 8, it possible something happened in the last league game and instead of a win (cause of the usual server/connection faults), finally he lost that game and finished 9th or 10th.
Never read a case of not promoting from 5th position (except higher levels).