This exact same argument says that Namecheap should lose its registrar status for "breaking the internet" when people don't pay to renew their domains.
Similarly, if Apple ever made the mistake of setting up an NS record pointing JROCKWAY.APPLE.COM to your nameserver, they'd be "breaking the internet" to change their mind.
The reality is that there is no technical difference at all between LY. and APPLE.COM.
This breaks the Internet.