Luma Labs put out of business by the USPTO

>When a competitor of theirs filed for a patent on the idea, they weren't concerned. After all, Luma knew of prior art for their mechanism stretching all the way back to 1885.

So why, when they learned of the competitor filing for a patent on the idea, if they knew of this prior art, did they not send all of that knowledge to the patent office? Yes the patent office makes mistakes, yes the patent office often does not find a piece of prior art. But they (Luma) are at fault and share some of this blame for not sending all that stuff they knew about to the patent office once they learned of the competitor's filing.