Sitting directly in front of me are two moderately large encrypted hard drives the passwords for which I forgot. If I get a subpoena to produce their contents, I will potentially remain in jail of the rest of my life for the crime of being forgetful. That judge's behavior and (the laws that enables it) is sickening. You either have enough evidence to convict a person, or you don't.
However, if that was the case then they wouldn't need to decrypt the drives, so this whole case smells quite a bit.
AFAIK there is a similar situation in the airport immigration; if you are an US citizen and don't want to provide a password for an encrypted device, they'll make you have a bad time, then throw the device and then let you in. Same for foreigners except with a flight back instead of letting them in. The bad time they give you basically depends on the immigration officer.