The two species that seem most subject to shell disease are Hemisquilla californiensis and Odontodactylus scyllarus. It seems that large male O.s. are particularly prone to this problem. It may be because they molt infrequently and/or spend a lot of time out and about looking for females. It usually starts as a brown or tan discoloration on the carapace or back. Gradually more spots appear and those initially present enlarge and deepen. Eventually the cutilcle is eroded through, the animal weakens and usually dies trying to molt.
The cause is not known, although I suspect a bacterial infection. The secondary infections that develop as the disease progresses are nasty - protozoa, fungus, even nematodes. I have no idea how to treat it. We have tried various dips and antibiotics, but usually by the time we get to this point, it is too late and there are so many infectious agents the battle is lost.
I have been able to reverse the effect if I catch it early with attention to water quality (lower nitrates), good nutrition (add supplements such as Selco), uv sterillization filters, more water flow, and lower light with long, dark burrows. I don't know which, if any of these are most important, but the last few animals that I had that came with or developed shell disease did recover. There is some suggestion that the disease is contagious, so I would try to isolate infected animals and/or use UV.
By the way, this is not just a disease caused by aquarium conditions. I have seen several animals, again large males, with it in the field.
Roy