Bitcoin 1.0 will fail. The only question is when the powers that be will break out the banhammer and how many they get in the intial sweep. I think sites like Dwolla and MtGox will be the first to go.
If those sites were brought down, and there are enough alternatives, prices might go way up because of increasing scarcity.
*might*
Oh, and if you actually think you can win in court...then you've probably never been through the legal system. For those in the US, imagine your attorney attempting to explain Bitcoin to 12 'average' Americans...ones that weren't smart enough to get out of jury duty. This will be after the massive PR campaign to demonize Bitcoin.
This is a good point. That's why we need to push harder and try defeat ignorance.
I do agree that real power holders won't give it away without a fight. But I also think progress has been made trough human history and inequity can be diminished.