"only damage". That's the damage. Five 9s is a thing, because being down means you lose market, your brand is harmed, and no one wants to use you. No one complies with 'cease and desist' orders before seeing if there's any meat at all. No one.

And the legal system "gets that". Reasonable compliance isn't "Oh, someone sent me a C&D. I should destroy my entire business on the off change it makes sense to do so. I'll just raze everything to the ground, hoping that it's better than just... having everything razed to the ground through a suit."

Just.. no. The legal system knows that due diligence is not simply complying, but instead taking time to validate the claim, see if it makes sense, and so on. After all, if the matter were truly urgent, an injunction could easily be obtained.