Exactly right, which is why I said it's not a loophole. The loophole is who has legal standing in court. The recipient so far has been found to not have stand

Exactly right, which is why I said it's not a loophole. The loophole is who has legal standing in court. The recipient so far has been found to not have standing. So Red Hat can distribute the software, not even tell you about the GPL, and that's that. Unless the original copyright holder wants to sue them. Which in the famous VMware case, at least in Germany IIRC, the bar to prove infringement or derivative work is impossibly high. So, the GPL is mostly worth nothing.