Editing, copyright and transformative use

I was reading this: http://ogc.harvard.edu/pages/copyright-and-fair-use According to this, if the work is deemed 'transformative', it falls under fair use. I`m not a law expert, and it`s unlikely that I`ll ever go to court over this but Did anyone test this with youtube? If let's say you took a couple of copyrighted videos and you edit them in a way to add new meaning, could your account still suffer from the ban hammer?

Youtube doesn't have to prove copyright violation in order to pull the banhammer. Only the courts can do that. Youtube has the discretion to yank videos pursuant to the DMCA when it receives complaints about the alleged use of content from a copyright holder. (In practice, it is much easier and exposes Google to less liability just to comply and then let the affected party try to prove their case.) Or for any reason at any time, I'm sure.

Fair Use(USA) / Fair Dealing(Canada) - The owner of copyright in a video/photo enjoys the exclusive right to reproduce, communicate "to the public by telecommunication," and exhibit her photo/video. The copyright owner is - subject to important exceptions - the only person permitted to copy, print, download/upload, or publicly display the media. However, the exceptions are important. The Copyright Act balances this exclusive grant of rights to the copyright owner with other "user rights." First, even though a media is protected by copyright, anyone is permitted to use copyrighted media in a fair way for the purposes of research, private study, criticism, review, and news reporting. The fairness of the dealing is weighed by considering the purpose, nature, and extent of the use.

Video does have an exception however, you can not use the whole video. You can only use the portion of the video required to demonstrate the message. Do not use the whole video!