So what? I don't see any conflict between what they said and what the license says. As they stated, it's being used as a shield. If you're suing them, you probably don't deserve a free license to their patented tech.

The difference is that the license is terminated by ANY litigation against Supabase - e.g. if you sue them for breach of contract completely unrelated to the software.

Use as a shield would mean limiting it to patent litigation against a user of the software.

It also only covers litigation against Supabase - it does not provide a shield against litigation against OrioleDB users.