I to was fucked by TalkSugar.com. Back in July of 2005 I noticed in the TOS for customers that their calls might be recorded, I emailed him asking WHY he recorded the phone calls and this was the email that was sent and his reply. Mind you I had not taken calls in months, so how I violated the TOS I have no clue and nothing was specified.

Date: 30 Aug 2005 18:57:32 -0000
Subject: [RT #2364] TOS
From: “John via RT”
To: michele_XXXXXX@yahoo.com

If you don’t like the terms then don’t use the site. Incidentally, you
are in violation of the Host Agreement and your account has been
terminated. You are not welcome to use the TalkSugar service.

[micheleXXXXX@yahoo.com - Tue Aug 30 12:31:25 2005]:
> It has come to my attention and many other girls and clients that you
> record all phone calls and video streams. IN maine thats against the
> law specially if its not said b4 every recording!
>
> SO what is the reason for recording them and what do you do with
them.
>
> You recording phone calls seems very shady. I would like your view and reason.
>