Just a few days ago, a commotion started to stir over the fact that a number of LBP user levels were being moderated. Many gamers reported seeing their uploaded levels disappear without any reason given. Needless to say, this upset a number of people who thought that the potential for custom levels was being seriously thwarted. However, comments by Sam_Protagonist, one of the LBP developers, put this issue into perspective.
Sam recently stated on the LBP boards that only 200 levels (less than .5% of all the uploaded custom levels) have been moderated. Furthermore, all deletions that took place were either due to profanity or copyright violations, both reasonable grounds for such action. Levels are only removed after a user reports them, and a moderator subsequently finds it in violation of the EULA.
Even if your level is deleted, it is still accessible offline through your Moon, and can be edited and re-uploaded once any offending material is removed or changed. In addition, Media Molecule also agreed to provide a justification to every creator who has his or her level removed to make the revising process easier on creators. For now, it would seem that all is safe for now in this LittleBigPlanet.