According to admittedly loose translations, a shipment of dongles to be used for hacking the PlayStation 3 have been seized by customs officers in Germany, and now Sony is targeting the purchasers of the devices with cease-and-desist letters and threats of fines and litigation.
A forum user on the DC EMU UK forums (thanks SlashDot) translated an article on the German website Heise Online (Google translation) in order to disseminate the information. From the story, it seems Sony wants PS3 Break buyers to agree to no longer import, distribute or use any device that allows the PS3’s copy protection to be bypassed by signing a letter, which also gives Sony permission to destroy the devices.
If the person in question breaks the signed agreement, they could be at risk for penalties beginning at 5100€ (approximately $7,100 U.S.). Refusing to sign the cease-and-desist agreement could leave buyers open to litigation.
Such litigation, as noted by Heise Online, would most likely prove troubling for the PS3 Break users as:
It would be extremely difficult to prove in court that a special USB controller stick called "PS3 Break" does not circumvent the copy protection… for the PS3…