Those little washers make things difficult.
What are the little notches in the little washers for?
Just a guess: The notches prevent the washers from moving when an adjacent tool moves. If the washers were free to move, they would transmit motion from one tool to another and cause "clumping" of tools.
My next question is, is there any reason why a person couldn't machine an extra lock slot into one of the bit holders for 90* torqueing? Looking at my surge without having taken it apart it seems like it, and looking at your dissassembled surge looks like it too. I mean ok, you can just bend the handles into an L to torque stuff, but it would be so much cooler if you could kind of lock the handles and the bit holder at the same time.