A few people have reported servo controller boards that have burned up on them. We've finally figured what is causing it. It seems that plugging or unplugging servos while the system is powered causes a power spike that damages the controller board. I've added the following disclaimer to the store page:
Caution: Don't plug or unplug servos while the system is powered. Doing so may create a power spike that damages the Servo Controller Board, causing it to overheat. Only apply power to the IO-204 module after the servo(s) have been attached to the controller board and the controller board has been inserted into an I/O channel.