Just an outside point to consider...
I've tried to run CHAT as a separate beast from the site. I figure most people have the time to come in here and read up, and even many of our critics will do the same.
As for chat, I've always allowed much more freedom for discussion, joking, and so forth. I've been involved in much of that, although not lately, and it's been a fun ride.
Keep in mind then that regulating it is very subjective. The thing which DOES NOT sit well in the eyes of 90% of the chat users (which is a very small subset of this place, usually 10-20 users on average) is VERY offensive, annoying, and obnoxious actions, attitude, and comments. I'm talking things that just piss people off.
To reflect on Don's comments, I don't like getting 5-10 email complaints about a person, let alone one!!! So when it's something that pisses enough people off to email me, call Don, and sometimes bitch in the forums, then it's something which needs to be corrected.
Personally, I've seen FI piss people off and push limits, although I've never banned or kicked him. I've always asked him to tone it down a bit and reminded him when needed. Again, Tim was one of his other supporters, so if he felt the need to do this, then it most likely was warranted.
FI just let it go, it's not as if you were being productive the hours spent in there!!!
]=)