Sony Adds Mandatory Arbitration Clause to PSN ToS

September 15, 2011 -

If you are a member of Sony's PlayStation Network, chances are you were greeted with an email from the company this morning telling you that that the terms of service for the network are about to change. The big change, in case you haven't received that email yet, relates to your ability to sue them. From section 15 comes this wonderful new clause:

"ANY DISPUTE RESOLUTION PROCEEDINGS, WHETHER IN ARBITRATION OR COURT, WILL BE CONDUCTED ONLY ON AN INDIVIDUAL BASIS AND NOT IN A CLASS OR REPRESENTATIVE ACTION OR AS A NAMED OR UNNAMED MEMBER IN A CLASS, CONSOLIDATED, REPRESENTATIVE OR PRIVATE ATTORNEY GENERAL ACTION, UNLESS BOTH YOU AND THE SONY ENTITY WITH WHICH YOU HAVE A DISPUTE SPECIFICALLY AGREE TO DO SO IN WRITING FOLLOWING INITIATION OF THE ARBITRATION. THIS PROVISION DOES NOT PRECLUDE YOUR PARTICIPATION AS A MEMBER IN A CLASS ACTION FILED ON OR BEFORE AUGUST 20, 2011."

In laymen's terms, it means that if you feel the need to sue Sony or any of its associated companies that work in concert with PSN, you'll have to go through what's commonly referred to as "mandatory arbitration." You agree to mandatory arbitration on an individual basis when you log onto the network, the new ToS asserts.

Basically you agree to go before a third party if you have a dispute with Sony. Generally these third parties are hired from companies that specialize in corporate arbitration and - most of the time - side with the company that used their services because they want the repeat business. Also, these third parties are not bound to follow the law.

Lovely. You can read the new terms of service here (PDF). The good news for consumers, if there is any at all, is that if you sued prior to August 20, 2011 this change in the ToS has no affect on that action.

As an aside, if you haven't watched the documentary, Hot Coffee, you should because it explains how corporations like Sony have turned "frivolous lawsuits" into a buzzword to mean greedy consumers who want to sue for the dumbest of things.. like getting burned by a cup of hot coffee from McDonald's. We have all heard that story before but when you see the elderly women who filed the lawsuit and how badly it burned her, it shows you that corporations have fooled society into thinking anyone that sues is just out to make a quick buck off of minor complaints. You can watch the trailer to your left.


Comments

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

Japan why?

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

I just saw the documentary: it was gut-wrenching.

There is no such thing as a successful frivolous lawsuit.

Living in Canada is awesome. We enjoy the universal healthcare and gun-free environment of a European country while getting all of our games released at the same time as the US.

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

Technically, you can not sign away any of your rights.  (Unless, of course, you join the military.  Then you sign away certain rights to protect the rights of others.)  However you can be legally held to accept arbitration.

Funny thing, tho, is the article does not state that you can decline the arbitration clause.  I've read the update changes and included in Section #15 is a clause that tells you how to decline arbitration.  You must do it in writing & within 30 days of accepting the changes online.

 


Ruger is coming out with a new and intimidating pistol in honor of Senators and Congressmen.  It will be named "The Politician."  It doesn't work and you can't fire it!

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

Typical: sign away your rights with a click, jump through hoops to keep them.

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

See, the fun thing is ToS have no power to break the law. So if something is illegal, legal, a right, etc., it'll stay so. However, the not so fun thing is that many people fall for it and think that whatever is in a ToS actually binds them :(

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

Is this even enforceable?  We need to hear from that one lawyer that used to do commentaries on videogame-related law.

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

Generally, arbitration clauses are enforceable as long as the conflict stays within certain bounds, so the answer is 'usually, but not universally'.

Re: Sony Adds Mandatory Arbitration Clause to PSN ToS

I wonder if there's going to be a class action lawsuit over this.

 

Andrew Eisen

 
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Andrew EisenThat was quick! Pretty accurate cosplay of the new Ghostbuster uniform and proton pack: https://twitter.com/mirabellemusing/status/61673135125394227207/03/2015 - 6:23pm
Matthew Wilson@mast I dont know, but I do know it got a cult fallowing here.07/03/2015 - 6:22pm
MastermuneWasn't the Zero Escape series more popular here than in Japan?07/03/2015 - 6:19pm
Matthew Wilson@mast given the game was revealed in the US, I wouldnt be shocked if it was released at the same time.07/03/2015 - 6:15pm
MastermuneI don't trust the big AAA worldwide simultaneous releases though.07/03/2015 - 5:57pm
Mastermune@Infophile I have come to the conclusion that smaller games like zero escape, JRPG's and the like are actually worth preordering sinc they are limited quantities and since they usually release in japan first we know if there are any issues.07/03/2015 - 5:56pm
Infophile@Matthew! Awesome news. I'd preorder on that shout alone if I didn't have a policy against preordering anymore.07/03/2015 - 5:16pm
Matthew Wilsonzero escape 3 was announced today.07/03/2015 - 4:21pm
Matthew Wilson@pnx I am guessing a ddoss since that is what happened to neogaf, but sony needs to do a investment in psn as a whole. steam is still the most reliable and fastest digital platform I use.07/03/2015 - 3:06pm
PHX Corphttp://www.vg247.com/2015/07/03/psn-is-down-sony-investigating/ not again: PSN is down, Sony investigating07/03/2015 - 3:04pm
Matthew Wilsonhttp://www.vg247.com/2015/07/03/digital-extremes-trespasser-keystone-pc/ if true, this is funny and embarrassing for Digital Extremes. companies need too have better security.07/03/2015 - 2:57pm
Matthew Wilsonhttp://www.gamespot.com/videos/the-point-destiny-the-hardcore-gamers-slot-machine/2300-6425852/ this is very good, and well researched.07/03/2015 - 12:41pm
InfophileOther features to become standard: The ability to remap controls however the hell I want. Quicksave at any time (especially for handheld and mobile games). Plus everything Andrew said07/03/2015 - 10:43am
InfophileRegion-freeing becomes tricky for games with a strong online component though, especially when the servers are run by different branches in different regions.07/03/2015 - 10:41am
InfophileI'm in favor of getting rid of region-locking for any purchased games. I can understand an exception for free, ad-supported games, as many ads are only relevant in certain regions, and it's a ridiculous hassle to get ads for all regions.07/03/2015 - 10:40am
PHX Corphttp://kotaku.com/payday-2-has-been-broken-on-xbox-one-for-three-weeks-1715384186 Payday 2 Has Been Broken On Xbox One For Three Weeks07/03/2015 - 8:44am
Matthew Wilsonhttps://www.reddit.com/r/OutOfTheLoop/comments/3bxduw/why_was_riama_along_with_a_number_of_other_large/ here is a more complete acount of whats going on.07/03/2015 - 1:32am
Matthew Wilsonredit is on fire right now. most subreddits have been set to private.07/03/2015 - 1:24am
MattsworknameYou know andrew, those are actualy rock solid ideas, I woudl like those features a bunch ,especially with games that a cut scene heavly. looking at you kojima!07/03/2015 - 1:18am
Andrew EisenActually, "things I'd like to see become standard in video games" ain't a bad idea for one of my future YouTube videos.07/03/2015 - 1:05am
 

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