CNET's News.com reports:

This could mean policing content and having a tighter verification process for new accounts. Instead of emailing you the login password, websites may be required to send you the password to your mailing address in order to get some type of personal identification from you. Like many small websites, such as our Camoosta.com, is a 2- to 5-person shop. It is difficult and near impossible to go head to head with the legal system unless you are a part of a bigger corporation (i.e. Microsoft, Yahoo or Google). Is this an indication of the end of niche social sites?

Egad! WTF!