As if mass cybersquatting, monetizing its customers' domain name ideas through its shell subsidiary Domains By Proxy, locking customers' domains to keep them from transferring to other registrars, actively conspiring in the theft of its own customers' domains, intentional violation of ICANN rules and regulations in order to extort additional money from customers, or many other complaints (some of which probably qualify as fraud) weren't sufficient reasons to avoid GoDaddy, it is now reported that GoDaddy stores customer account passwords in clear and will use them, without your knowledge or consent, to access private servers hosted with them.
Further, it transpires that GoDaddy just got hit with a class action suit by its own employees, alleging theft of employee bonus commissions, defrauding employees of overtime pay, violation of federal Fair Labor wage and hours standards, and wrongful termination of whistleblowers.
Just as an aside, it seems GoDaddy isn't the only hosting company storing customer passwords in the clear. Rackspace does it too.