On the off-chance that you haven't read it already, you might be interested in the Code of Conduct:
The most appropriate bit that I see off-hand is as follows:
You will not upload, post, transmit, transfer, distribute or facilitate distribution of any content (including text, images, sound, video, data, information or software) or otherwise use the service in a way that:
includes content that is protected by intellectual property laws, rights of privacy or publicity, or any other applicable law unless you own or control the rights thereto or have received all necessary consents.
For specifics, I'll leave it up to the Microsoft guys and girls to get back to you, but it seems to me that in your case they would simply defer to local law.