There is a problem with the transaction favoring a party, and they can use the timeout to their advantage. But it is not as dire as some think.
Here is an example:
Alice creates a contract on the Bitshares blockchain that will pay Bob 1 Bitcoin if Bob can come up with the secret. If he does not do this within 24 hours, Alice gets her Bitcoin back.
Bob creates a contract on the Litecoin network that will pay Alice 2.5 Bitcoin if she comes up with the same secret within 12 hours.
Alice has a small advantage here. She has the secret. She can wait until near the 12 hour mark to decide if the price moved in her favor. If the price is not to her liking, she does nothing. Bob gets his Litecoin back, and Alice waits another 12 hours to get her Bitcoin back.
If Alice decides to take the Litecoin, Bob has few choices. He has to take the Bitcoin or leave empty handed.