We haven't heard of that page being a problem before (and it's been in JFBConnect for a few years now), however, we'll check it out again to see if there's any way to clean it up. Just so you know, you can create a template override for that page to completely override the look in anyway you want (including removing the login side or something drastic like that). If interested in how, just let us know and we can help.
Finally, on the demo site, we have it set up in a very similar fashion to what you're looking for.. a minimal registration form with a "Terms of Service" checkbox. If you haven't tested out the demo site lately, you should check it out:
www.sourcecoast.com/jfbconnect/demo/demo-1-registerlogin
Best of luck,
Alex