> According to open source, that's impossible, you can't pirate open source code

I would assume pirating open source code would be using the code against its licensing. Yeah, I know, it's weird, but open source code in some cases (like GPL licensed code) can't just be added to a product and compiled without additional steps. If the open-source license used explicitly states you have to give the same license and rights to open source the code to other people and you commercially closed-source it, it would be an issue.

Since this removes the whole "show license before giving code", well... I could see a reason for a lawsuit being problematic to some. Who knows, most people would rather just take the code and use it, rather than deal with respecting copyrights/copyleft licenses.