Originally Posted by wootpr0n

As a web host you do not have to suspend a hosting account for any reason.

If your client has invalid whois AND you receive a complaint from somebody about your client's invalid whois THEN you are required to investigate the validity of the complaint AND THEN if you determine that the whois is invalid AND you contact the customer to inform them that it is invalid AND the customer does not provide accurate data within a reasonable amount of time THEN you have to suspend THE DOMAIN NAME until accurate whois data is provided.

And usually it is a valid e-mail and telephone number. By valid, I mean working. An e-mail will either bounce back or it won't and a telephone will either ring or it won't. There is really no way to verify the whois information because a registrant isn't required to check their e-mail, answer the telephone, or open their mailbox.

If the domain name is suspended, then when you try to go to the domain name, it goes to a suspended page put up by the registrar. But the actual hosting account isn't suspended. You could have a domain name with GoDaddy, hosted at with me and if you have invalid data, GoDaddy will suspend your domain name. I won't suspend your hosting account, won't know that there was a problem, and probably wouldn't care.