They weren't behaving in a way that could be described as "targeted" when they asked for Lavabit's encryption keys. IIRC, Lavabit did comply with some previous requests that were targeted to individual users -- but the case that led to them shutting down was for blanket access. Retroactive blanket access.
Furthermore, "based on suspicion" and "case by case" fall by the wayside when asking for blanket access, too. And of course the whole issue of "not rubber stamp oversight" isn't met either.
So, they were doing none of what I suggested and what you quoted -- very far from "exactly the case."