well, they arent releasing their source code, which should be against the GPL as they are integrating WINE into Lindows and WINE is covered under the GPL and since they modified it and put it in Lindows, it should therefore have to be opensource (or at least any parts of WINE that are in it should be opensource).
Second they are making it so every user is doing everything as ROOT and this poses as fucking serious security risk, and opens the computer to a hell of a lot of evil things. When Lindows contracts swarms of viru and such this will make the Linux community look bad.
Then they are doing weird things like MS does like only letting you use a program for a certain amount of time (you only get click 'n run for 2 years if you are an insider).