I just ignore TOS anymore. Otherwise it takes months to roll up a site, as our legal department gets in these tiffs with the LEC trying to get verbage changed.
I should premis this with, I work for a rather large Oil and Gas company that has signed hundreds of TOS just like that one. Let me tell you, TOS means nothing. If it comes down to it, take em to court. Don't mess with arbitration. A good lawyer will make swiss cheese of these. There is such a thing as fair and reasonable contractual practice in legal matters. Any contract that is not considered fair and reasonable is near void in the eyes of a decent judge. Moreover in every case we have dealt with has been resolved at no cost to us. If the provider advertises a service and can't make due on its promises you have every right to take it to the court system regardless of TOS. Keep in mind, clicking okay or reading a TOS on a box is not a signature by you.
We actually are credited by several LECs regularly for the entire month in the Northeast because ISPs couldn't keep a DSL circuit up for 2 days without 20 min of outage. In one instance, we haven't paid a bill in nearly 6 years. The only reason we keep the DSL circuit is because it's there for backup and the alternative was VSAT. Since we have several other sites with the same provider, they don't even argue about it anymore. We just forward them the outage logs and they zero the bill on the account.
It is kind of a slap in the face of the consumer that the legal d*cks in these large telcos would even print something of that nature though. Maybe someone should fire a lawyer for being a dumbass every once in a while.