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I have a few question regarding the SEED Embryo rule.

1) What happens if a seed is discovered, attacked, and wounded without the occupant exiting? I assume RAI, the whole unit is lost. However, the rule does not cover this situation at all, so it can be argued that similar to a piloted T.A.G. it could do a forced disembark.

2) Can the seed ARO to the 1st Short Skill of an enemy and then the occupant ARO the 2nd Short Skill? I think yes because of this portion of the ARO rule:
"If, during the execution of an Order, the acting figure enters the LoF or ZC of a new enemy miniature lacking LoF or ZC when the Order was declared, that enemy model receives an ARO immediately and can react to the Order being undertaken."
As long as the occupant counts as new enemy miniature in reference to the seed, then this argument should be valid.

The occupant doesn't exist until the END of the order anyway.

 chromedog wrote:
The occupant doesn't exist until the END of the order anyway.

Can you elaborate on this explanation/interpretation? I'm not quite getting it.

Your argument, as you say, is based on this premise:

As long as the occupant counts as new enemy miniature in reference to the seed, then this argument should be valid.

If that were completely true, both the seed embryo and the seed soldier would take up separate slots in the combat group. So your premise is incorrect.