I disagree with your professor. Grignard reagents are wrecked if there is moisture (aka water), and the proton on the phenol is even more acidic than water.
As far as what happens, a grignard like CH3MgBr, is essentially a delivery of CH3-. So, it grabs a proton and you effectively get CH4. I'm not 100% sure if that's exactly your products, but conceptually, that's why you can't use grignard reagents on compounds with acidic protons.