If CIG still has tens of millions of dollars in reserves, then this won't bring down CIG or SC. At worst it would delay development and substantially reduce their budget. If CIG can't afford a legal settlement then it would mean either SC development stops and/or what remains is sold to another company.
I suspect very few people know how much money - liquid or otherwise - CIG have in reserve, and your 'at worst' is actually my 'at best' outcome.
This whole thing smells a lot of an existential threat to CIG, where the worst outcome is bankruptcy and the end of the dream.
In such an event I love your optimistic view that what's left would be 'sold' on to be completed. Now, whilst via bankruptcy with all debts 'absolved', a.n.other company may theoretically produce a Star Citizen and/or Squadron 42, they will not be beholden to the/any (stretch) goals, and
everyone will need to pay money to get the game.
No matter how many dollars any backer had previously donated to the now bankrupt CIG.
Let's just say that again - if CIG go under
all money donated has gone, and will deliver nothing, no game, no Idris. If you want said game with/out Idris, you will need to pay 39.99, just like everyone else, be you backer or not. Assuming anyone cares to pick the remains up and tries to produce a game.
Bad reputation if they lose a high profile case though. And this will be.
I honestly don't see CIG as a high profile case. A test case maybe, but headline news it is not.