I would strongly suggest where businesses should be 'drawing the line' is to report to the authorities anyone who brings a device in for repair where that device is found to contain material that might be deemed illegal, whether relating to pornography or other activities.Where do you draw the line tho'?
PCW's attitude was that a reputation for reporting its own customers for a bit of tit's n bum action would mean everyone goes elsewhere to buy their computers . . . . . The original "Jolly Rogers Anarchists Cookbook" was very commonly found on HDD's in those days, today you'd 'have' to report that as a very serious matter, but back then you'd probably be reporting a curious 14yr old boy.