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I wouldn't say I don't take contracts seriously, but these are more like EULAs that few people take seriously. And the courts more and more are siding with people on this.

Note that I've never done the hidden city technique. I've heard about it, but never done it. Apparently you can save money doing it. paid for transportation from point A to point B

A distinction without a difference. If I fail to get to point B, that's my problem. Not theirs. If I miss the plane I'm sure they wouldn't refund any portion of my fare. They might get me on the next flight, or they might charge me for another ticket for the missed leg. So if I miss it deliberately and get there by another means suddenly I owe them money? I don't think so.

The airlines are merely suffering the consequence of their bizarre and opaque fare system.

Yes, the loss of all FF miles if you have a bunch built-up would suck. However, I suspect they are within their rights to kick you out of the program.
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