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There needs to be a way of removing that link for an expired domain.
Perhaps retain the default link until the expired domain gets deleted from the user account in case of a late re-registration by the original owner. But once the domain name gets deleted, then this link to this web hosting needs to be broken.
The website and email will be offline once the domain expires. This will not affect the other domains in your hosting package. The one problem that could arise, is if another Dynadot customer purchases the domain and then tries to use our Advanced Hosting to host it. They would not be able to do so since the domain would be seen as part of your hosting account.
I might have a problem then... I renewed my hosting for a domain that expired. Does this mean I won't be able to use my new domain on that hosting package?