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It hasn't been challenged because it's hard to prove damages by someone claiming ownership of public domain works. Who's harmed by placing fences around what's supposed to be a commons?
I'm hoping that sometime soon, some bright lawyer or nonprofit copyfight org figures out how to describe the damage done by attempting to restrict use of public domain works. (Class action lawsuit on behalf of "the US public?" With damages to be awarded to the LoC's copyright office, so they can afford to hire enough people to actually register all the new submissions, and potentially start digitizing the backlist of registrations so people can easily find out if works are available for anyone's use?)
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