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Microsoft makes Xbox users promise not to sue

by on08 December 2011

Fed up with messy class actions

Xbox 360 owners are unwittingly agreeing never sue Microsoft if it does anything wrong. The new dashboard update comes with a new terms of service agreement but if you have look at the small print it appears that Microsoft slipped in new wording to halt future class-actions.

In the Xbox Live Terms of Use are clauses that prevent users to bring a class-action lawsuit against the company in regards to changes in the Xbox Live service. It seems that Microsoft copied the idea from Apple who also slipped in new terms within iTunes. Now Xbox 360 owners are presented with the new conditions when installing the changes to the dashboard layout. You can reject the new clause but have to notify Microsoft in writing within the first month of the change. Microsoft wants Xbox Live users into settling all legal disputes through binding arbitration rather than a trial.

Users giving up the right to litigate, or participate in as a party or class member, all disputes in court before a judge or jury. Instead, disputes will be resolved before a neutral arbitrator, whose award (decision) will be binding and final, except for a limited right of appear under the Federal Arbitration Act. Xbox users can't walk with their feet as Sony rolled out a similar change to the Terms and Conditions for the PlayStation 3 in September 2011.

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