Is the Wirefly deal on the Motorola Droid for Verizon legitimate?

Yes Wirefly is legit, but they have their own terms and conditions. For example, they will charge you if you change your plan within the first 6 months of activation. They will also charge you a $300 fee if you cancel or suspend service (including features like texting) within the first 6 months- that would be in addition to Verizon's ETF if you canceled service with them