[exikyut]

How would that work?

If a company drafts ToS and then plumb violates them, well, it'll be found out eventually and then you get things like the recent debacle with telco data being sold (https://news.ycombinator.com/item?id=15477286), and then the company(s) in question will either get completely shredded or their reputation will at least be seriously besmirched.

I can see the logic of what you're saying, but at the same time I can't see how it would hold up. If you can show me how it would work I'm listening though.

[lightedman]

As soon as you start your own business, you'll know all of this. The short gist of it is when you incorporate, you have to publish rules that govern your entire operation. These are either your articles of incorporation or your bylaws, depending upon the type of entity you are.

If "Don't sell customer data, even surreptitiously" isn't in those bylaws or articles, then the company is free and clear to do that. ToS says how you can use THEIR service externally, not how they internally operate.

[exikyut]

Oh. Thanks very very much for this clarification; most helpful TIL.

Apologies for not replying sooner; I didn't see this until now!