> Njalla is not going to destroy their reputation over Nitter
What exactly is this supposed to mean?
Building your product on top of a domain that someone else owns (by design) is an inherently risky proposition. The only type of customer Njalla would attract in the first place are fringe privacy-conscious customers who begrudgingly accept this risk.
This is exactly the type of nightmare scenario their customers don't want to run into. If they don't treat these issues as a matter of urgency and don't support their customers as much as they're legally allowed to by fighting BS requests, they'll very quickly find themselves out of business. I suppose the irony of this is lost on you, "monero-xmr".
