The TOS simply allows Anthropic to decline to fulfill a request at any time for any reason.
Or just that in your opinion, it should be illegal?
Simply doing something anticompetitive is not inherently illegal, despite a lot of people thinking it is.
https://github.com/anthropics/claude-code/issues/53262#issue...
Locally, they also need to abide by the local laws and regulations of anywhere that they choose to sell their services.