The suspension was not reduced because they reformed with new leadership and a new name (this would not allow you to avoid a raid suspension). It was reduced because their new leadership made a deal with Aftermath with regard to the specific dispute/petition which led to their suspension.
Disputes are typically handled in this way before ever involving the staff to avoid petitions (generally the offending guild concedes x number of spawns to the bereaved guild), however Awakened's previous leadership had a unique (bold) strategy of just rolling the dice with the staff instead of conceding mobs to resolve disputes quickly.
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