It was an interesting tactic, on Fox's part, putting all the blame on the manufacturer. The manufacturer may have used off spec material, which may have worsened the situation, however, the real problem is the design itself. It is bound to fail, regardless. The positive and negative air chambers are separated by a single seal, which, when exposed to side loading, is bound to brake off from the air sleeve and allow air to pass from the positive to the negative.
One solution to the problem would be abandoning the DU bushings in the eyelets and using spherical bearings like the Double Barrel does, for example. This way, the side loads on the shock would be removed (caused by imperfect alignment of the frame, which rarely exists) and the lateral force on the shock eliminated. In these conditions the failure could only be caused by worn seals which would be attributed to poor maintenance.
_MK