I personally would stay away from calling someone, or an LLM, 'stupid' for making this mistake because of several reasons. First, objectively intelligent high functioning people can and do mistakes similar to this so a blanket judgement of 'stupid' is pretty premature based on a common mistake. Second, everything is a probability, even in people. That is why scams work on security professionals as well as on your grandparents. The probability of a professional may be 1 in 10k while on your grandparents it may be 1/100 but that just means that the professional needs to get a lot more phishing attempts thrown at them before they accidentally bite. Someone/something isn't stupid for making a mistake, or even systemically making a mistake, everyone has blind spots that are unique to them. The bar for 'stupid' needs to be higher.
There are a lot of 'gotcha' articles like this one that point out some big mistake an LLM made or systemic blind spot in current LLMs and then conclude, or at least heavily imply, LLMs are dangerous and broken. If the whole world put me under a microscope and all of my mistakes made the front page of HN there would be no room left for anything other than documentation of my daily failures (the front page would really need to grow to just keep up with the last hour worth of mistakes more than likely).
I totally agree with the language ambiguity point. I think that is a feature and not a bug. It allows creativity to jump in. You say something ambiguous and it helps you find alternative paths to go down. It helps the people you are talking to also discover alternative paths more easily. This is really important in conflicts since it can help smooth over ill intentions since both sides can try to find ways of saying things that bridge their internal feelings with the external reality of dialogue. Finally, we often really don't know enough but we still need to say something and like gradient descent, an ambiguous statement may take us a step closer to a useful answer.