The problem is, here is what was said by Yahoo:

Item ‘11.l’ stated that I will not “display all or part of the Ad Unit to any user located outside the US”. In other words, I can’t allow users outside of the United States to view my pages if there is a Yahoo ad on the page!

Now, what that ACTUALLY says is you can’t display Yahoo Ad’s if the visitor is from outside of the United States. It does not say “You can’t show the pages contents to visitors outside of the states” which is what the Boing Boing article title says, and what the person who submitted the story seems to have taken it as.

Now I agree, the policy is pretty … stupid. But if you’re going to report it, report it accurately.