If they actually had a slam dunk case, I would react somewhat differently, though still perceive a libel suit in that context as a very aggressive thing to do.
If Nonlinear had accurately represented their chances of winning, then I would have perceived it as less of an intimidation attempt (like, if the Nonlinear email said “we aren’t confident we would win a libel suit, but given the stakes for us we have no choice”, I do think that would have caused me to perceive the email pretty differently).
Relatedly, if I thought that the case was obviously a slam dunk, and they had said so, that also would have felt less like intimidation to me. It would have still been a kind of risky threat, but as @Jason pointed out in another comment on this post, one of the most pernicious problems with libel suits is invoking the threat of them, without actually ever having to pay up on the cost of going through with them, and overstating your chances of success is correlated with that.
I do also think that a lawsuit that was very likely to succeed would be correlated with having more of an ethical case (not strongly, but at least somewhat).
If they actually had a slam dunk case, I would react somewhat differently, though still perceive a libel suit in that context as a very aggressive thing to do.
If Nonlinear had accurately represented their chances of winning, then I would have perceived it as less of an intimidation attempt (like, if the Nonlinear email said “we aren’t confident we would win a libel suit, but given the stakes for us we have no choice”, I do think that would have caused me to perceive the email pretty differently).
Relatedly, if I thought that the case was obviously a slam dunk, and they had said so, that also would have felt less like intimidation to me. It would have still been a kind of risky threat, but as @Jason pointed out in another comment on this post, one of the most pernicious problems with libel suits is invoking the threat of them, without actually ever having to pay up on the cost of going through with them, and overstating your chances of success is correlated with that.
I do also think that a lawsuit that was very likely to succeed would be correlated with having more of an ethical case (not strongly, but at least somewhat).