This model was born out of frustration with LiveScribe and their support.
The pen is a great tool and simply too expensive to have such a simple part sabotage it's operations. Thus — poof — my first model and feeble attempt to address the issue. This model is designed to have just a little space on the elongated access of the top so it does not pinch open the release latches on the cartridge/camera cover. It is still nice and tight via the other axis so it wont just fall off.
I hope this helps other LiveScribe owners.