It's not even like the early days of Gmail abuse where people were using it as a cheap web disk, consuming way more storage and bandwidth than Gmail could've reasonably estimated. This person is just using Vimeo as they intended: hosting and serving videos. She wasn't trying to abuse the service, just using it the way they sold it to her, as a place to host videos for $200/year. Whose fault is it that they underpriced their plans as loss leaders on purpose, and the bet didn't quite pay off?
If they want to up their price because they want to change their business model, you know, more power to them... but sheesh, at least give her 60-90 days to figure out next steps. Some home internet connections can't even download all those videos and reupload them within 7 days.
(edit: to be clear, Gmail didn't offer unlimited disk, just a LOT of disk)