agree rankings should mean something, but I will definitely dispute that Khabib should be the #1 contendor. 1 fight in 2 years against Hoctor (guarantee that spelling is off, it was the first, and last time I heard of the guy) on a 2-3 week notice and certainly didn't look like a world beater. Without a doubt, RDA or Tony would easily have a better argument. I also think Nate could have an argument with him doing the whole McGreggor stuff, but I think he might be a better fight to have with Khabib. if not that, give Khabib Barbosa, Chiesa, Michael Johnson, or Will Brooks.
Alvarez isn't demanding anything, and he is right in that he fought all top ranked guys before the belt. Look at his path vs. Khabib's, it is a joke.
and the guy Khabib beat was Horcher:
http://rankingmma.com/ufc-rankings/lightweight/