The only thing I find really disconcerting is the fact that the threads REALLY need some grease, arrrrghhh. Hey, it's a defective light, it happens. I've bought lots of electronic stuff on-line for many years, and I'd say my return rate is close to 50%. In order to have all the fancy gizmos, the electronics tend to be complicated, and it only takes one faulty part or solder joint to disable it.
One way to minimize this issue is to only buy lights with a simple, yet solid design, from a manufacture that uses top grade materials and construction techniques. However, even Surefire,HDS, and Peak lights have problems occasionally. Probably not all that many, but there will always be defects.
This simply reinforces how important it is to buy from a vendor with a rock-solid warranty/exchange program. It's called service after the sale, and it's often just as important, if not more so, than a rock-bottom price.
Personally, I tend to favor electronic switches on my lights. I feel their ultimate longevity (often 50,000 cycles or more) outweighs any downside. But that's just my opinion.