The API limits how frequently (3/year) *and* can be fully blocked by any user for all apps.
They do get banned, effectively.
And there is nothing to stop a developer putting up their own nag screen as many times as they like, only pushing through to the real one when they get a good response... And they do.
And there is nothing to stop a developer putting up their own nag screen as many times as they like, only pushing through to the real one when they get a good response... And they do.