Cory, I believe the "redistribute" problem comes about because because in order to sell, loan, or give away the files, you'd have to make copies of them. Anytime you send them by email or move them from one medium to the other, they are technically "copied" - and deleting the original doesn't negate the copying. It would be like photocopying a book and then shredding your original - the copying is still a violation.

So it seems to me they are being honest when they say you just have to follow basic copywright law. At least that's my understanding of U.S. copyright law.