> If they win then it means any recipient of GPLed binaries can sue for compliance.

I hope they win the case (meaning, I think it's both morally and legally correct), but I hope that the conclusion of the case is not what this sentence says.

I don't want "company uses GPL software and takes pains to not distribute it [they run it only internally]; disgruntled employee finds a way to smuggle a copy of the binaries out, gives that copy to someone else; now that someone else can now demand enforcement of the GPL terms" to be legally supported.

To me, that's entirely different from "I use GPL software to make a TV and I sell that TV to anyone who will buy it." In that case, any buyer of the TV should be entitled to use the terms in clause 3 & 6 of the license and receive the source code that's covered by GPLv2.

https://www.gnu.org/licenses/old-licenses/gpl-2.0.en.html (clause numbers above refer to this license)

That's not what "recipient" means: it's a term of art. If I want the source code to your private fork of my GPL'd software, and I see your old laptop on Craig's List, I can't buy the laptop, recover the undeleted binaries from the hard drive, then sue you for the source; this ruling wouldn't affect that.