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I think they are (smartly) avoiding legal hassles by putting the onus on the domain holder to have correct information. If the info isn't correct, I think they can pretty much pull the domain directly and settle issues.
Too many scammers and spammers are using BS domain info. This will potentially make it faster for those domains to get pulled out of service.
(too bad, I use to have domains registered to the mens room at a london subway station, but I digress...)
Alex
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