If a service provider wants their decision about whether to honor the SLA to be based on what the dashboard says, then it's completely fair to require that they report accurate information through that dashboard.
A service provider always has the option of providing an SLA that's based on the true uptime of the underlying service without treating the dashboard as a definitive source of truth. Choosing to make the dashboard their official record of downtime means they're opting in to having inaccuracies in the dashboard qualify as fraud.