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While I agree in spirit, this also makes the resolver away from being able to claim they're just a neutral service which just delivers existing records without being opinionated
Fair point. I'd say "We're neutral, unless you attack us, in which case we stop being neutral about you, in particular". I'd still use them if this were the policy.
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That ship sailed. The court unequivocally determined that the resolver is not a neutral party, and their ruling explicitly demands that the resolver not be neutral.
I mean if they're getting sued for failing to block proxy/vpn services they're being told to be opinionated and they can't be a neutral service. "You asked us to be opinionated about traffic, so we're doing that. Do you want us to go back to being neutral?"