Sure there may be room for improvement in the wording, but if "a shotgun approach" is the best way to protect people then so be it.
I think the "one-time only" rule is still a bit harsh, but I'm definitely seeing their point of just killing all auctions with "MAME" in the title - if you're selling something legit, it will most likely work with a lot of other emulators and equipment, not just MAME-specific stuff. If you're selling ROMs...well, you got what's coming to you.
I know if I was in a situation where I had to check out dozens or hundreds of eBay auctions every day to weed out infringement and illegal sales, I'd do the same thing they've done (the shotgun "all MAME titles go" approach).
I still wish we weren't in this situation to begin with, but David Foley triggered a series of events that left us where we are today. Unfortunately, he wins - he's gotten exactly what he wanted, and doesn't even have to lift a finger anymore to kill MAME-related auctions.
Somehow, I predict the phrase "for Arcade Emulation" will become popular...
Kevin