The legal Deparment runs most companies . They are the only way to get something bespoke done (like unlocking an account ). And companies are terrified of discovery.
Any lawyer can file a complaint in small claims . OP has paid for a service and has a contract
They booted him for TOs violation, that was their action. A judge can decide whether that action was a breach of the contract, or if the contract itself is lawful.
We live in a common law country. It means that the judgement defines the law, not contracts (and not even statute, strictly)