There are two ways to change the laws in America, through legislatures and with the courts.
The courts are the most efficient way to repeal something you don’t like. There are hundreds of legislators, you need teams of lobbyists to influence them, and there’s no guarantee that they will take up your issue in their agenda. Furthermore, if you want to change one thing, everything gets thrown on the table as being liable to change. You may win in one area but lose in a lot of others, and sometimes you will lose in non-obvious ways.
The judges don’t want to rock the boat as much as politicians do. If they make a decision that makes precedent, it will be very focused and very specific. But, if you want to take an issue up in the courts, you need to sue, or be sued. Courts are not hypothetical in the way that legislatures are.
I think fair use is a perfectly valid legal defense. Grey area is one way to put it, another way to put it is a legal area lacking precedent. If it were not for fair use, copyright law would violate your right to free speech. Fair use let’s you use copyrighted material for criticism, parody, and education. Covid created a situation where people’s access to works was restricted, with the only reason being legal limitations (copyright law). IA sought to educate people irrespective of the limitation. I don’t know how IAs legal team is planning to defend their client, but fair use would provide a defense. This case could end up with a precedent that says that under exceptional circumstances, the scope of what activities are covered under fair is expanded.