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What would have been a non-partial ethics violation investigation in faraway Alaska has now become a big time political football due to Palin's presence on the Republican ticket. So Palin (and McCain) don't believe the investigation will be fair any longer, and have backed off cooperating with it.
It was a commmittee led by a Democrat that issued the subpoenas, someone if he was originally non-partisan now appears simply to want to embarrass Palin as much as possible to hurt the Republicans nationally. Read some of his quotes about "criminal charges" and an "October surprise" if you don't believe me. Subpoenas issued by legislative committees are and have been used for political purposes across both sides of the aisle forever.
But the Democrats have overplayed their hand at this, and the Alaska legislature will likely just put the problem to bed by postponing the investigation until after the election, or killing it completely. The Obama people will then of course say how all of this shows the fix is in, how she's guilty, has no respect for the rule of law, etc., etc.
Just politics as usual from both sides. No "Change" of any kind from either party. Too bad.