I think its a bad idea to toss items into the audience when you know its not something you want to give away. At the very least Prince should give the man a copy of the guitar. Otherwise I'd say the guy was right to sue. Especially after paying over 700 bucks for a ticket.
What do you think? Should Prince compensate the fan?
Meaning: One who gives a gift but later takes it back.
Origin: Indian giver derives from the alleged practice of American Indians of taking back gifts from white settlers. It is more likely that the settlers wrongly interpreted the Indians' loans to them as gifts. This term, which is certainly American, may have been coined to denigrate of the native race. Historians would now agree that, where deceit was concerned, it was the settlers who were the front runners. It isn't uncommon, and it could be argued that it is customary, for the conquering race to attempt to justify their invasion by dismissing the conquered as dishonest and stupid.
The phrase is quite early in the history of the the USA. Thomas Hutchinson described the term as proverbial as early as 1765, in his The history of the Province of Massachusetts Bay:
"An Indian gift is a proverbial expression, signifying a present for which an equivalent return is expected."