Hence there would be punitive damages there alone which the other partys lawyer would argue.
Only if the other party would argue about that . Alot of people know that the original satoshidice was sold already, probably more than 1 time also there were tons of satoshidice script copy out there few years ago as well.
If someone comes to this site because they thought that this is the original satoshidice then they would know at first glance that this is definitely not the original site. Not that the site claimed that they are the real deal as well so I guess there is really nothing to worry about though
You know the site is not the original satoshidice because you are not new to the crypto world. I am talking about new adopters who see some bitcoin documentary, and decide to try out Satoshidice so they google it and, they might discover satoshidice.io and think it the same original site as before.
If you go to the root site satoshidice.com and scroll down, there is a copyright notice at the bottom. Since this is crypto, there is a chance that nothing will happen. However since the site is fairly new and not too late they are better off just changing the name to prevent any further headaches with the real satoshidice owners.