Tecnically it is illegal because he's selling something that's copyrighted as freeware distribution only. The creators of FG can take legal measures against the scammers and they would win...
Is it legal to sell a copy of FlightGear, whether re-branded or not?
Yes, provided the seller is in compliance with a number of conditions detailed in the GPL. In fact, those interested in receiving a DVD containing FlightGear may do so through the main FlightGear website, and directly contribute to the project (though they may want to wait for the upcoming release in the new year).
Why do the FlightGear developers allow this?
The freedom to modify and enhance FlightGear is a core part of the project, and of open-source in general. Restricting the modifications that are allowed and what people can do with the software goes against that ethos.
..And so diminishes yet more of my faith in humanity. It's no wonder I am a recluse!
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