okay thank you this seems to be similar to the banning of people who flash the xbox drives and play pirated games, they get banned from live but the console still works. So I am assuming that if I update after they try to stop me from using internet services all the ban will be lifted correct?
Nintendo hasn't banned anybody yet, so we don't know how they'll do it.
It's unlikely that the ban will be lifted after you update the firmware (as no other console works like that, and there's often hacks for the latest firmware anyways so that's no proof you're not still hacked since if you got banned they know you can do it in the first place).
No, the games, manual etc. use the term "may render your 3ds unplayable". Same as usual.
I read the Internet Update agreement they present to you.
It's funny stuff.
The agreement you accept when you update says that after an update, your illegal ways of using illegal things illegally will be blocked.
Interesting, I think it would be a bad idea for nintendo to immediately banish hackers from online services considering that the 3ds would have only have been out for three months by the time of the update. So I feel as if a warning should be revealed before instead of a straight permaban. So like maybe a few weeks of banning for the first time and longer each time so the consumer can understand and continue to buy their products instead of being shut down and not caring to purchase anything from them anymore.