Wednesday, October 17, 2012

PayPal becomes the latest company to ban class action suits

PayPal Windows Phone

On November 1st, PayPal will follow Sony, Microsoft, Netflix, and many others in banning class action lawsuits by customers. Its new terms of service require any disputes between a user and PayPal to be resolved with arbitration, or in small claims court if they qualify. Unless users send a written opt-out notice, they’ll be barred from group suits in the US, something that’s become increasingly common for companies since last year.Stopping class action suits is sometimes an abstract worry, but PayPal has a history of legal challenges


In some cases, these clauses pose mostly an abstract concern for customers of a beloved company. Valve, for example, introduced a similar change in August, barring its Steam users from suing...


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via The Verge - All Posts http://www.theverge.com/2012/10/17/3511792/paypal-class-action-suit-ban

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