I agree, contracts are legally binding. However, there are judgments against contracts in civil court cases merely because the contract is ludicrous. E.g. Apple approved the application, then breached the values of the contract (despite it not being written in the contract) by rejecting the application although the application did not drastically change during it's life-cycle. (The argument may fall better under lacking competency to manage the App Store.) With this FCC ruling, I think an application developer would be insane not to sue for breach of contract by Apple.