All I can say is that there are some serious idiots submitting to FreeDB, but I use it because it's built into EAC (don't know if you can use CDDB with EAC, though), and it's easier to populate the files with incorrect info then edit it than it is to write it all yourself from scratch.
Incorrect spelling, capitalization (why do some people submit a song title like it's a sentence and not an actual title?), and sometimes song titles that are simply wrong. That's what I find from about 25% of the stuff I get from FreeDB. Honestly, I don't remember that much bad information from CDDB when it was still free.
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Matt