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When a client is banned it means that no one is going to upload or download files to/from that client. In other words, a client which has been banned will be ignored by the other clients.
A client can be banned, because of leeching or because it is of potential damage to the network or other clients, such as aggressive clients.
It is important to know the basic difference between a ban and leeching. A banned client cannot upload nor download, while a leecher doesn't upload but takes advantage of downloading.