I think this came up on Tesla's blog - one of the developer cars was used by a high level employee who lived on the top of a hill. So you charge overnight to 100%, and then go down a hill, and it won't use regen as you'd overcharge the batteries.
Not sure if they did anything about it, I suppose he could set it to charge to 95% or something.
In this day and age, isn't there some alternative brake fluid that would not absorb moisture? Moisture is a real safety issue. It turns to steam when it gets hot, and steam is compressible. Hydraulic brakes count on the non-compressiblity of fluids - so the brakes don't work (or not very well). Plus, the moisture leads to corrosion.
And +1 on thanks for starting this thread, some great points.
-ERD50