No, there's no legal grounds to stand on for charging for OS upgrades. That's just purely Apple greed.
Look at the PSP and all the updates it got, for example. All for free.
That's not accurate. There was a GAAP determination that required them to do it for accounting purposes. I don't have the specifics in front of me now, but if I recall correctly there have been modifications made to the various revenue rules that no longer make that a requirement. Prior to this, Apple did freely distribute their x.xx updates.
Here is an article that appeared in MacWorld, but I don't have the Revenue Ruling handy.
http://www.macworld.com/article/131991/2008/02/ipodtouch.html
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