"Collecting Facebook usernames and passwords is at the heart of the dispute. Power.com impersonates a Facebook user after collecting their username and password."
I would still side with power BUT a TOS that says "you can't give your password to third parties" is a bit different from "you can't use any automated processes at all".
a) They are going after the third party, not the people that gave them their passwords, and
b) I believe Facebook also harvest passwords for other sites (hotmail etc)
c) In practice, there's not much difference between "Nobody can create a service that uses user's passwords to automate their Facebook access" and "You can't use any automated processes to access Facebook".
"Collecting Facebook usernames and passwords is at the heart of the dispute. Power.com impersonates a Facebook user after collecting their username and password."
I would still side with power BUT a TOS that says "you can't give your password to third parties" is a bit different from "you can't use any automated processes at all".