Absolutely agree with what you've said there, and in all honesty I'd love to see Creative be investigated by Trading Standards, but due to direct experience with them I just don't have faith in them when it comes to technical issues like this.
Its not they are not good at their job, but there seems to be a lack of people who work there and would understand a technical situation like this.
Court? Would be nice, although I doubt many people who've brought a soundcard to listen to music would do that due to the costs involved
I don't think the law should be broken in this way, but I don't think customers should have to in order to get what they brought working properly.