TechCrunch's long-running dispute with Fusion Garage over the CrunchPad is one of the more perplexing business scenarios I've encountered recently. There are probably two sides to the story, but here's my high level takeaway. Whether right or wrong, as far as Fusion Garage is concerned, that's no way to do business.
Growing up in the era of the RIAA suing it's most devoted fans, I try to approach business with a pretty simple rule - don't treat your customers as criminals. Regarding the CrunchPad, I can see how I might have gotten in trouble like Mike did. A corrolary to not treating your customers as criminals, is don't treat your partners like criminals. Apparently, one of the big issues in this whole case is there was never a formal contract between TechCrunch and Fusion Garage. But, from my perspective, complex, intractable 50 page contracts are a form of treating your partners like criminals. Granted, you want to protect yourself, but assuming your partner will screw you over from day one is hostile in it's own way.
A commentor added "I think honest dealings are the default American position," and I agree. There's almost no way to truly protect yourself if, from day 1, your business partner has ulterior motives. That's part of living in a free society, and applies to business, friendships, and relationships. I think Mike Arrington did what I would have done, focused on the product, and assumed your business partner had the same attitude toward business as you.
One thing I would worry about, though, is that TechCrunch responds by making all contracts more onerous and formalizing all relationships. In some ways, a better strategy would be to spend more time upfront making sure that, for all new partners, the company cultures mesh. Sort of like Zappo's approach to hiring, one round technical, one round culture.
Of course, a Memo of Understanding never hurts.