He said probably, but even if it doesn't this is an easy decision for Google. Imagine that they did not do this, the next headline would be: "Google even more evil than GoDaddy, enables Neo Nazis".

Is this an escape hatch?

Registrant represents and warrants that:...registering or directly or indirectly using the Registered Name will not violate any applicable laws or regulations, legal rights of others, or Google’s rules or policies including:

It would seem to include rules and policies not listed in the terms.

> You acknowledge and agree that you shall not use Services in a manner, as determined by us in our sole and absolute discretion:

> To display or advertise pornographic, X-rated, sexually explicit, or otherwise tasteless materials, images, products or services (including, but not limited to: massage, dating, escort or prostitution services);

GoDaddy probably (it is at their discretion) finds the Daily Stormer to be tasteless.