Liability/Legality/Negligence of XP Home/DC/Buisness

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Im in the position where i would like some advise about XP home
machines in a corporate environment. Are XP Home machines illegal to
run in a business environment? Secondly do they pose a security risk ie
not being part of the Domain , not subject to GPO *BUT* still having
access to Domain shares.

>>From my understanding it would make it considerably easier for an
attacker (to take over the domain controller) if Xp Home machines where
on the network. Xp Home machines by there very nature (not being
subject to GPO / share permissions ) would be easier to take over first
.. From there the attacker would use the XP Ho.. err i mean zombie (and
its 100mb link) to try and breach the DC...

Thirdly if a clients files were lost and/or made public , would there
be a case of negligence because Xp Home machines were being used????

.