Not familiar with the Gen 1 but first thing to try would be isolate the opposite side thumbstud with say, a needlenose plier and then screw the thumstud in on the opposite side. See if that works.
I'll report back on this. Kershaw rep graciously offered to do a warranty repair and I may take him up on that. If I do that shipping will cost almost as much as a new Shuffle. I really like the little guy and have been carrying one since they first came out.
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