This is sort of what I wrote a couple of days ago that was seemingly lost in cyberspace.
Everyone knows that Lori Jareo's novel was a blatant violation of copyright. It is also a violation of Lucasfilm's SW trademarks as well (many people get copyright and trademark confused but they are two separate sets of intellectual property law). Now, every single icon, fan video, fan film, fan fiction, or fan web site is on its face a violation of copyright and trademark law. Very few, if any, of us got Lucasfilm's permission to make 650 icons or post our epics online. Lucasfilm tolerates what we do to a point because it knows it's in its interest to have an active fandom. Otherwise it wouldn't be possible for a 501st Legion or a Rebelscum.com or a Force.net to exist. It has even chosen to have a yearly competition for fan-made movies. The kvetchers don't know really how good we have it. The times Lucasfilm has cracked down on fan activity of any kind has been rare and IMO most of the time they were justified in doing so. It's silly to get mad at the cop for pulling you over when you know full well you were doing 75 mph in a 30 mph zone.
I don't think this incident will result in Lucasfilm putting the smackdown on all fan fiction. It doesn't have the time and resources to do so. There were times in the 1990s they could have put the kibosh on fan fic back when it was a lot easier to stop it, but they didn't. A company like Lucasfilm is going to aim its big guns at egregious violations instead and it's hard not to argue this was pretty egregious. Why? Jareo put her book in direct competition with licensed mass market novels and comics. Let's just say a year ago, Joe Blow decided to make a fan movie. He thought this film was so good he called up a buddy of his who managed a multiplex theater and made the suggestion that the multiplex show the film the same time ROTS came out. They figured that with SW mania ablaze, people would crowd in to see a fan made movie as well. So they "released" the film the same time ROTS came out in the same theatre. Imagine the confusion that would have caused when ordinary film goers bought a ticket to see "Star Wars" but end up watching Joe Blow's knockoff instead. Well, that's what could happen to some schmoe searching Amazon for SW novels to read. Of course a lot of SW fans could tell the difference between pro fic and fan fic but the legal standard wouldn't be what the average SW fan thinks (and you could argue there are SW fans who could be confused...a fan brought the subject up after he saw the book on Amazon and wanted to know what it was), it's what the average person thinks. And "average person" in the legal world means the average idiot.
Lucasfilm will likely hand out C&Ds to Jareo, her publishing company, Ingram (the company that distributes books to sellers), Amazon, and any other seller. Then, if there are sufficient damages and if Lucasfilm feels like teaching a lesson to all involved, they will be sued. As we've seen with those who have illegally distibuted or stolen copies of the films in the past few years, these guys don't play nice. Jareo will likely lose her business and she'll be lucky if they don't press for criminal charges as well (yes, copyright violations can be criminal violations). The book retailers can sue Ingram to cover their own damages.
It's likely they will sue in federal court but they can sue in a state court as well for dilution, which means the publication and sale of a fan written novel to compete with licensed material reduces the value of the SW license and without Lucasfilm/Del Rey's quality control, could sully the SW brand among consumers.
In a nutshell, this is a more complicated case than it appears and it has implications for more than just our fandom. I think everybody with a valuable publishing property is going to be watching this.