I believe eventually they will be forced to hand over those files and some one at a senior level will have to take the witness box.
What I don't understand is why they weren't forced to hand them over WHEN ORDERED. If the court in San Diego has enough jurisdiction to order a 501(c)(3) in New York to pay 13 million in damages then how the hell does it not have the jurisdiction to send in officers to arrest those in violation or, at the very least, force compliance?
If a local judge ordered me to provide a document or appear in court and I refused, I would be in handcuffs before the sun went down.
Maybe I just don't know enough about how all this works. Or is this just another example of U.S. government's lack of spine when dealing with religion?