Morrowind and Oblivion are two games that will always be installed on my PC. (along with hundreds of mods). However, I won't buy skyrim unless the DRM is removed. I'm also not happy with the lawsuit. It wreaks of a greedy cash grab at someone else's expense from a company that was already doing quite well. Additionally, the DRM is a hard sell given how well Oblivion sold with a simply CD check. They should know better than any how little DRM was needed for their products.
Some folks just want to enjoy a good game. I bet Skyrim will be good, but I won't know unless they convince me the company behind the games is worth investing in.
On the other hand Witcher 2 pulled DRM out when every company under the sun is racing to put it in. They also release new free content when other companies either stop development completely on older products, or try and charge for an expansion or DLC.
So in simple terms of choosing to give my money to a company for its efforts to customer satisfaction, I see one company doing things that harm consumers and in some ways the industry as a whole, and another company doing things to reward consumers for being their customers. Skyrim may be the best game since pong, but I'll not find out when they can't behave as a company.
I don't expect everyone to agree, but these are my reasons.
Incidentally, I'd drop about $100.00 U.S right now for a Skyrim collector's edition if it was 100% DRM free. That is my biggest drawback, and it only strengthens my reservations about the legal issues with the word "scrolls".
/IMHO.