You're right - probably shouldn't have dismissed it as just being in the idea stage.

I still stand behind the other point though - the assumption behind their lawsuit is that they would have been able to do what Zuckerberg did - which is pure speculation. I'm of the opinion that their legal troubles and outcome end up making them substantially more than their idea would have anyway. So walk away with a boat load of money, lesson learned, and get your name behind some positive press instead of negative.