Why did Carreon give up? Essentially, what he wanted to do has officially failed. He was suing to stop Matthew Inman from taking a photo of the money actually raised from IndieGoGo, arguing Inman might see a tax windfall.
So Inman deducted $200,000 of his own money to take the photo. Then he requested IndieGogo send the money to his specified charities directly instead of through him, pulling an end run around Carreon’s attempt to block the funds. Half of it was still tied up in PayPal, but those funds will be released now that the suit has been dropped. Essentially, it’s all over but the crying.
Anything Carreon would have tried legally would have been pointless: he raised some objections and Inman properly addressed them without the court needing to intervene.
In short, the system works and justice prevails for once in a lawsuit we’re covering. Hooray!