I've had to deal with them before due to things beyond my control. Despite
knowing better and advising a person close to me to go elsewhere... they
didn't. GoDaddy has a really bad reputation. There are a lot of hosting
companies though which are also horrendous. I generally try to avoid
companies that lie and cut a lot of corners. In some cases I've accepted it
provided in certain cases provided the level of service was fairly
advertised.
I had a $10 USD / month VPS in the early days of VPS for instance and the
service was clearly advertised in such a way that there was no service or
up-time guarantee. A guy ran it as a side project for fun. The service was
horrible and would go down for days on end although it was clear what you
were getting for your money so I stuck with it until I could bear it no
longer (and had real needs for something more). It happened every six months
or so too. Very frustrating. I switched in 2006 to Linode and have been happy
ever since. However the price of service doubled. With it the up-time has
been near perfect.
There are good reasons to use such a cheap service. I'd have no issue running
a Tor node on one for instance. In fact it was probably the main benefit to
that node at the time. And email.