Microsoft has sent out their reply to the whole RichardGaywood issue. If you haven't heard about it yet, an Xbox Live user - RichardGaywood - got his gamertag banned late Tuesday. As it turned out, the Live user's legal given name was actually Richard Gaywood.

Anyway, Microsoft's Stephen Toulouse pointed towards the Xbox Live Terms of Use as the reason for the ban:

While it may be clear to some that Gaywood is a legitimate surname, it may not be obvious to other Xbox LIVE members. In this case, a complaint was filed by a member of the community, requiring the Xbox LIVE team to examine the gamertag within the context of the Xbox LIVE Terms of Use. Based on these guidelines, it was necessary for the gamertag to change.

Kotaku reports that Microsoft will not be reinstating RichardGaywood's gamertag, just like any other gamertag found violating the XBL ToS.