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Anything else - you're fine.
"A VPN clarification"
http://steamcommunity.com/discussions/forum/1/541906348043811845/#c541906348043951197
If one is simply using one to get a stable connection, for example, that is ok.
But whatever the case may be ,the only thing that gives these exceptions credibility is Valve's inaction and leniency towards them.
"For any other purpose" covers purposes of bad things, like disguising place of residence, bypassing restrictions, etc.
I understand your point mate, it's exactly like you said as it fairly should be. My point is, that technically based on those straightforward 3 rules, he'd fall under the category of rule-breakers and CAN be banned, whether he would or should get punished or not is another argument. So personally I wouldn't assure him he'd be alright. Use at your own risk would be more correct.