I wouldn't describe it as entitlement. I think one of the issues I would have if I was in this situation is that the developer membership is paid for and the service provider (Apple) is actively refusing to let you engage in part of what you did pay for (the ability to publish apps on the App Store). You can bet that Apple won't give you a refund of that membership fee.
They provided reasons and it is within the terms of service of what you paid for, they were also able to appeal, and I suggest you check the app and the reference app to which the claim is being made against.