Sounds like it may be time for some legislation requiring payment processors and other service providers (eg hosting/email) to provide an escalation process - probably human review - in cases such as these.
Although I agree that there are a lot of TOS violators out there, there are also legitimate businesses suffering real and tangible harm from these actions.
This case in particular sounds interesting. They were reviewed and the problem was fixed, and they were then again given the big ban hammer. In this case, I suspect the liability must shift to the provider for causing harm through failed processes/systems under their control.
And with that you cannot turn off someone's electricity (which they don't "need": see Amish) just because you don't like them. And definitely not while hiding behind an algorithm.
Although I agree that there are a lot of TOS violators out there, there are also legitimate businesses suffering real and tangible harm from these actions.
This case in particular sounds interesting. They were reviewed and the problem was fixed, and they were then again given the big ban hammer. In this case, I suspect the liability must shift to the provider for causing harm through failed processes/systems under their control.
Just my 2c