Jump to content

Xbox TOS Update Provides Protection from Lawsuits in U.S.


Wade_VC

Recommended Posts

Microsoft has been making a few changes to their Xbox Live service, including amending their terms of service. The new update to the TOS has included a provision that will block all class action lawsuits from any U.S. based owner of the Xbox 360. This move forces all users of the Xbox 360 to agree to the terms, lest they be stripped of their ability to play the console.

Microsoft is not the first company to do something like this, with Sony enacting a similar policy earlier this year. With several lawsuits filed against Microsoft, the move is certainly not unwarranted from the gaming conglomerate. While the company could be saving itself a lot of trouble from a fiscal perspective, there might be a conflict of interest when it comes to the law.

From a precedence standpoint, the Supreme Court recently upheld that employees could not sue AT&T with a class action lawsuit, stating that dispute resolution could only be pursued on a case by case basis. This controversial legal precedent has given clear guidance for Sony, and now Microsoft. The ruling is not without question, as several states are currently mulling over the issue. Illinois recently ruled that consumers always have the right to legal action, while New Mexico and Ohio are both in court cases over the ruling.

Regardless of these facts, the new TOS will forbid users from entering in or filing a class action lawsuit against the company for problems, such as the recent double-billing fiasco that Microsoft is currently engaged in.

Source: IndustryGamers

Link to comment
Share on other sites

Guess all gaming company will end up with this Class action lawsuit ban

Kind of looks like it.

It is the proverbial "Catch 22", isn't it? I don't blame them for trying to prevent the many frivolous money-grabbing lawsuits too many are quick to file; but at the same time, I dunno' if it is a good precedence to basically allow them to say " No matter how bad we fuck up or screw over our customers, there are no consequences for our actions".

Talk about a situation that is in dire need of a "middle-ground" eh?

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...