The best course of action is probably for funny junk to get try and wring some minor concession out of Inman (that he'll inform them of any issues directly before publishing them on his website or something similarly trivial) and drop the whole thing.
Right now they've got some publicity and the cost of some of their (basically crappy) reputation. I don't think it gets any better for them from her so they'd be wise to cut and run. Whatever they may win if they did continue is unlikely to be worth the grief.