It's hard to prove incompetence in court. If they went that way then it was a big mistake I think. Actually I didn't even thought this is possible. I think that it's much easier to prove bad intentions than incompetence. If we are still at it, can someone enlighten me how do you prove incompetence in court? What laws are there to punish you for being an idiot? I find it very easy to evade this by working with contractors. Was this the case?
I don't know all the court details, but what was the main point of failure? I remember that they promised delivery in Oct and they got chips in November and that they changed the MPP terms (not sure if this is legal or not after the customer paid the money).