What did Lavabit think would happen by physically locating servers in the US? It's almost irresponsible to sell customers on the illusion of privacy and to not

What did Lavabit think would happen by physically locating servers in the US? It's almost irresponsible to sell customers on the illusion of privacy and to not mention the risk of the servers being confiscated. edit: This whole Lavabit thing is so dumb that I'm inclined to think it was a honeytrap designed to waste supercomputing cycles on decrypting random data.