Having a personal contact at the registrar for example might sound unnecessary, but it means that a person at the registrar should know the company involved and the impact of the domain or domains before any serious action like suspension are made. In large and bulk like registrar this isn't the case and as such no one likely knew what Zoho.com was or how many users it would effect. It was likely just an other $10 annual fee among millions of other domains, and as such it is very easy to just suspend and forget and later try fix any issues if those are raised. Cheap and quick solution but very costly if the owner values the domain name above that of $10.