Taking something someone else made and showing it as-is, bypassing their own restrictions: No no.
Taking something someone else made, modify it or use parts of it in some bigger thing or completely change it: Fine, if you have money and/or run a company
Because that's stupid. These laws are stupid.
It should have nothing to do with storing copies it should have to do with what the models can produce. And it's clear they can produce copyrighted works, they've just been tuned so they don't.
That shouldn't satisfy anyone.
In other words... they can't. A different one can but this one can't. The court is not stupid, and will consider this fact.