Court Rules That Sony Has The Right to Change PlayStation Network Terms of Service

A Federal Court has ruled that Sony has the right to change the terms of service on its PlayStation Network service because it is a "choice" for its users. Sony changed its TOS for the PlayStation Network last year by adding a clause that anyone wanting to sue the company would instead have to go to what some like to call "mandatory arbitration." 

In case you are not familiar with arbitration, if you have a complaint you have to go before a third party arbitrator to settle it. The problem is that Sony hires the arbitrator, and even though he or she is supposed to be neutral, they tend to side with the corporations that hire them. The company also added a clause that users could not form class-action lawsuits.

Those who were not happy about the changes filed a class action lawsuit against Sony Network Entertainment (lead plaintiff Stephen Fineman), but it looks like the courts have decided that Sony has the right to change its TOS on its PSN service as it pleases. So ruled Judge Susan Illston of the United States District Court for the Northern District of California, who granted Sony Network Entertainment a motion to dismiss the case.

The case is Fineman v. Sony Network Entertainment. For a complete rundown of the case, check out ericgoldman.org.

Source: TechDirt by way of UnchartedNES

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