[JoshTriplett]

> When the device is transferred or resold to you, it need not be accompanied by the offer of source.

This is false. The person transferring the device must either pass along the offer they received (GPLv2 clause 3(c), and only if performing non-commercial redistribution), or pass along the source code (GPLv2 clause 3(a)).

[gpm]

By my understanding under US law first sale doctrine means that 3 (both (a) and (c)) doesn't apply, copyright has been exhausted and the intermediate party here doesn't need a license at all to sell the device on. Even if you want to argue the GPL is a contract and not just a license the intermediate owner has never been required to become a party to it. Even if for some reason they agreed to the contract - and somehow it was a binding contract despite the complete lack of consideration - it seems unlikely that the courts would interpret 3 to apply because reselling a device isn't "distributing" within the meaning of copyright law because of first sale doctrine.