For some reason HTC, by the wording in their letter, persuaded the developer to remove the flip-clock component. Apparently it will not come back.
I may be naïve but I did not think you could own this design concept or at the very least that HTC was the originator of the flip-clock.
I just think the behavior, from the part of HTC, is below expectations. I can understand the rational for some legal department to pursue this, but from a publicity point of view it is just wrong. To my knowledge, the flip-clock weather widget from HTC is only available on their products and it is not available on the Android market.
HTC, compete with your product not by pursuing developers.