|Wed Aug 22 2012 23:13:10|
Can eBay Prohibit Users from Filing Class Action Lawsuits?
By: Ina Steiner
Among the most controversial new provision that eBay highlighted in its announcement on Wednesday was the following:
"The User Agreement contains an Agreement to Arbitrate, which will, with limited exception, require you and eBay to submit claims to binding and final arbitration, unless you opt-out of the Agreement to Arbitrate by the deadline stated in the User Agreement. Unless you opt-out: (1) you will only be permitted to pursue claims against eBay on an individual basis, not as part of any class or representative action or proceeding and (2) you will only be permitted to seek relief (including monetary, injunctive, and declaratory relief) on an individual basis."
Some sellers say they wonder if the provisions can be enforced.
Thursday's news story has more details, leave a comment to let us know what you think!
Note that the move on the part of corporations to ban class action lawsuits is part of a "trend," according to LA Times columnist David Lazarus, who said Microsoft actually spun it as a positive for consumers - read the column on the idahostatesman.com.
The move has the backing of the United States Supreme Court. The case, AT&T Mobility v. Concepcion, was covered by the SCOTUS blog last year, which has full coverage and resources to see where various parties weighed in on the case.
Update 10/5/12: See this EcommerceBytes news story for breaking developments.