What I'm missing is where they "went after [your] company". Did FaceCash get a cease-and-desist that isn't documented in your HN submissions about the issue?
You don't need to issue a cease-and-desist to choke the life out of a company through clouded regulation such is the case w/ FaceCash. Aaron is obviously going to operate his company within the confines of California law and wasn't able to do so...
I'll be following the civil suit very closely. Best of luck.