Who's Right & Who's Wrong With 1938Media?

There’s a serious battle erupting in the blogosphere and people are taking sides but no thorough discussion has erupted over the ethical stance of 1938 Media & Techcrunch versus Shel Israel (and increasingly Robert Scoble). While on one hand I don’t want to rehash the whole story, I think given the circumstance and the names that are involved, it warrants some sort of brief discussion. Given that the blogosphere is about conversation, I’m surprised the conversation hasn’t yet expanded beyond the comments of Techcrunch and Twitter.