The problem is the CSM would have to match (at least approximately) the sub-orbital trajectory of the LM to do the transfer. So they'd have to slow down, dock with the LM, do the transfer, cut loose, and then get out of the death spiral they're in. Furthermore, all this would have to be done in a few minutes, because the sub-orbital trajectory is going to last less than 45 minutes (and half of that is on the way up) before the LM makes a new crater. And if they stuff it up, that's three dead astronauts instead of two.
I guess they could revert to a stable orbit with the LM still attached, assuming the CSM has enough fuel, but still - not a lot of time to work with, and a lot of potential for an even worse outcome.