Sony Changed ToS Because of AT&T Mobility v. Concepcion Decision

September 21, 2011 -

You may think the unprecedented and massive security breach that took down multiple Sony services including Sony Online entertainment and PlayStation Network is what pushed Sony to make the changes it did recently to the PSN Terms of Service, but a CNN report points to another reason: The Supreme Court. Last week Sony changed the document for PlayStation Network asking customers to give up their rights to file class-action lawsuits against the company and its partners. As we noted earlier today, customers can opt out by sending the company a letter in the mail - we also noted that most people did not notice the new clause in the TOS, and probably don't give a whit that they are losing their rights to sue.

Sony tells CNN that the new changes were made because of a Supreme Court decision in April - AT&T Mobility v. Concepcion (PDF). Due to a Supreme Court ruling the company was allowed to enforce a clause it included in employment contracts that barred workers from bringing class-action suits and forced them to go through arbitration.

"The Supreme Court recently ruled in the AT&T case that language like this is enforceable," a spokeswoman for Sony's PlayStation unit wrote in an e-mail to CNN. "The updated language in the TOS is designed to benefit both the consumer and the company by ensuring that there is adequate time and procedures to resolve disputes."

As the CNN report points out arbiters are usually retired judges who collect ridiculous fees of $300 or more hour. Arbitration never involves a jury and arbiters are typically more sympathetic to the corporations.

As we noted earlier, it will be interesting to see if someone, somewhere challenges the revised ToS in a court room. Many legal experts do not believe it can stand up in a court of law - mostly because of the way Sony made consumers aware of it.

Source: CNN


Comments

Re: Sony Changed ToS Because of AT&T Mobility v. Concepcion ...

Here's a good article that shows how far that decision reaches: http://redtape.msnbc.msn.com/_news/2011/09/21/7863184-after-high-court-ruling-firms-divide-and-conquer-in-consumer-cases

Its way bigger then just Sony.

Re: Sony Changed ToS Because of AT&T Mobility v. Concepcion ...

"We did it because now it looks like we can get away with it."

Fixed.

Re: Sony Changed ToS Because of AT&T Mobility v. Concepcion ...

Sounds about right.

Though luckily, even after the SCOTUS case there are limits to how many rights you can sign away, esp if you are not an employie.  Sony might find itself in the hot seat yet.

Re: Sony Changed ToS Because of AT&T Mobility v. Concepcion ...

Excuse me if I call bullshit on the notion that this somehow benefits the consumer.

This is all about big corporations doing whatever the hell the want, whenever the hell they want, with the explicit blessing of the Supremely Bought Court of the United States.

 
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Matthew Wilsonthe lose of nn would not be good for us, but it will not be good for verizion/comcast/att in the long run ether.04/24/2014 - 2:16pm
Matthew Wilsonsadly yes. it would take another sopa day to achieve it.04/24/2014 - 2:13pm
NeenekoI am also confused. Are you saying NN would only become law if Google/Netflix pushed the issue (against their own interests)?04/24/2014 - 2:10pm
E. Zachary KnightMatthew, you are saying a lot of things but I am still unclear on your point. Are you saying that the loss of Net Neutrality will be good in the long run?04/24/2014 - 2:06pm
Matthew WilsonOfcourse it does I never said it did not.though over time the death of NN will make backbone providers like Google, level3 and others stronger becouse most isps including the big ones can not provid internet without them. they can peer with smaller isps04/24/2014 - 1:54pm
E. Zachary KnightMatthew, and that still plays in Google's favor over their smaller rivals who don't have the muscle to stand up to ISPs.04/24/2014 - 1:45pm
Matthew Wilsongoogle wont pay becouse they control a large part of the backbone that all isps depend on. if verizon blocks their data, google does the same. the effect is Verizon loses access to 40% of the internet, and can not serve some areas at all.04/24/2014 - 1:14pm
Neenekolack of NN is in google and netflix interest. It is another tool for squeezing out smaller companies since they can afford to 'play'04/24/2014 - 12:57pm
Matthew WilsonI have said it before net nutrality will not be made in to law until Google or Netflix is blocked, or they do what they did for sopa and pull their sites down in protest.04/23/2014 - 8:02pm
Andrew EisenGee, I guess putting a former cable industry lobbyist as the Chairman of the FCC wasn't that great of an idea. http://www.nytimes.com/2014/04/24/technology/fcc-new-net-neutrality-rules.html?_r=204/23/2014 - 7:26pm
Andrew EisenIanC - I assume what he's getting at is the fact that once PS3/360 development ceases, there will be no more "For Everything But Wii U" games.04/23/2014 - 5:49pm
Andrew EisenMatthew - Yes, obviously developers will eventually move on from the PS3 and 360 but the phrase will continue to mean exactly what it means.04/23/2014 - 5:45pm
IanCAnd how does that equal his annoying phrase being meaningless?04/23/2014 - 5:09pm
Matthew Wilson@Andrew Eisen the phrase everything but wiiu will be meaningless afer this year becouse devs will drop 360/ps3 support.04/23/2014 - 4:43pm
Andrew EisenFor Everything But... 360? Huh, not many games can claim that title. Only three others that I know of.04/23/2014 - 3:45pm
MaskedPixelantehttp://www.joystiq.com/2014/04/23/another-world-rated-for-current-consoles-handhelds-in-germany/ Another World fulfills legal obligations of being on every gaming system under the sun.04/23/2014 - 12:34pm
Matthew Wilsonhttp://arstechnica.com/gaming/2014/04/steam-gauge-do-strong-reviews-lead-to-stronger-sales-on-steam/?comments=1 Here is another data driven article using sales data from steam to figure out if reviews effect sales. It is stats heavy like the last one.04/23/2014 - 11:33am
Andrew EisenI love RPGs but I didn't much care for Tales of Symphonia. I didn't bother with its sequel.04/23/2014 - 11:21am
InfophileIt had great RPGs because MS wanted to use them to break into Japan. (Which had the side-effect of screwing NA PS3 owners out of Tales of Vesperia. No, I'm not bitter, why do you ask?)04/23/2014 - 10:52am
RedMageI'm still disappointed the 360 never broke into Japan either. It had a bevy of great RPGs in the late 2000s.04/23/2014 - 9:48am
 

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