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Sony Amends Online Terms To Block Class Action Lawsuits

Sony Amends Online Terms To Block Class Action Lawsuits

Sony this week revised the terms of service and user agreement for its online services, inserting a new section that states users cannot enter into a class action lawsuit against Sony unless Sony agrees to the initiation.

The move comes months after Sony’s online services, including PlayStation Network, were compromised by a cyber attack that left millions of accounts compromised. The first class action over the breach was filed in April this year.

The new section of the terms, titled “Binding Individual Arbitration,” explains that users must waive the option to open a class action lawsuit against the company regarding its online services.

“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,” it explains.

The terms add that users cannot conduct a class action suit “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.”

The clause notes that any person who has filed a class action suit against the company before August 20 can proceed to do so. PlayStation users will be prompted to accept the new terms the next time they log in to PSN.

Read More/Source: Gamasutra

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