Sure it is. Had this guy known his rights, he would have kept on going with his project, and nothing legal Square could have thrown at him could have stopped him. Hell, he would have even gotten money out of them.
Right, after wasting years of his life in a legal battle, spending all his money on lawyer fees, fighting a company with comparatively bottomless legal funds and of course, we all know that juries never make mistakes, especially when dealing with highly technical issues. He's a fool for giving up so easily!
Assuming a company however wealthy they are would bother prosecuting a case they know they can't win, literally burning money over a project they haven't made a dime off in the last 10 years and won't be for another 20... Assuming he couldn't get legal support from open source developers groups... Knowing Square can't use any measure of force to stop his project without a court order...
It is not as one sided as you like to present it. Moreover, what you are pointing at is an abuse of judiciary institutions, not an abusive law as you pretend it to be.