I really feel sorry for Sean Malone. He's in an awful situation. As Reinart said, Malone is friends with both of Paul and Sean R. So this breakup/we're still Cynic must be tough for SM.
In my view, seems like both Reinart and Paul are at fault here. One from not getting into the business side of things earlier and Paul for not being prepared for the gigs. Now, I haven't seen footage from their Japan tour, so I can't comment on Paul's playing quality. I don't know...it sounds that both of this issues can be solved in time for the European tour but Sean R, imo, seems like he's overreacting. Or at least not handling this situation, in a more internal fashion. The fact that he doesn't want to talk with Paul directly is very concerning.
Now if Paul is indeed writing 80% of the music, he should be paid more. If Sean R feels that he's getting screwed contractually and that Paul is "doing shady practices" (as Sean R said), then pay for an audit or something.