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Remember that these rules apply to users of the API; I don't think Twitter will come after you for block-quoting a tweet.

They sound unenforceable to me. I'm pretty sure fair use dictates I can quote a person from Twitter without regard to their lame guidelines.

You don't have to follow Twitter's guidelines for displaying a tweet (you're right about fair use, I think); but Twitter doesn't have to authorize your OAuth keys to give you API access either.

You don't need OAuth to pull a (or several) tweet(s).

Where's the bright and shining line between a website and an application?

If you've got any widget that uses the API the Tweets are going to have to conform, it would seem.

In this case, it would appear that the line is "have you just copy and pasted the text of a tweet or are you getting it from the API?"

I would use twitter web or the official apps if they clearly displayed the @username instead of the "real name". The latter is pretty much an useless field that only adds confusion.

I just hope that the new display guidelines don't enforce displaying the real name over the username.