I don't mind you knocking the TaC - if you have beef with it then it either means something is incorrectly clarified or we've missed something

and we are always open for feedback; we can't do everything right first time, no matter how much we'd like to :3 so it is good to get feedback like this; it's better for everybody this way.
Perhaps we need to clarify, but I'll do it here: Staff will not delete items, unless they are illegally obtained, or they have been obtained by illegitimate means. This doesn't mean "If someone logs into your account, we'll delete your items", this means for example, if you find an exploit to create Zeny, and then use that Zeny to purchase an item, or credits to buy an item, then we reserve the right to remove that item.
And I know account sharing will happen anyway - there is no way to really prevent this, and you're both absolutely right about letting your women on.

But it's a constant and explicit notice/reminder that if you DO give your password away, your account may not be under your control anymore. It also states that unauthorized access to an account is not allowed.
To put in a practical sense (the terms I think you may be misunderstanding):
- Clause 1b: you may not log into someone elses account and take items, even if you gave them the item in the first place. If you do, they will be returned to the other account. If you want to lend someone an item, take some collateral in case they don't return it.
- Clause 1c: you don't LOSE the items, you lose the RIGHTS to the items if you give away your password. So if Jack trusts Jill and gives her his password, and then Jill then takes an item from Jack's account without his knowledge & vends it, sells it, it's destroyed, whatever, Jack has lost the rights to the item because he gave away his password. In addition to this, Jill has broken 1b and Jill will be punished if Jack complains, but Jack will not get the items back because he gave up his password.
- Clause 1d: this clarifies both of these two - if you access someones account and take their items or zeny, then you will have those items or zeny removed, including items or zeny you may have gained by obtaining them. For example - if you take 100m zeny from someone, and then use it to gamble at the casino, and win 200m zeny, you can have it all removed because the 200m zeny was earned from the original 100m.
Does that help with understanding? Again, if you don't understand the TaC then we need to know so we can clarify, and if you don't agree with them we need to discuss other options.
And thanks to both of you for your replies