Sounds like Discord is about to have 2 million cases of arbitration to sort out.
One person takes them to arbitration, it’s short work for their legal team, if 1000 do it’s harder, if 100,000 do, you still have to respond in a timely manner. The costs would be astronomical.
Valve and a few others removed it for that reason, it’s a bomb waiting to blow.
Forced arbitration tends to backfire massively when you have something of this scale because of everyone starts doing it. The cost of that forced arbitration is more than what the lawsuits would have been without it. It’s a big reason why like steam got rid of it. If you get too many people trying to go after you, it’s just not worth it and costs too much.
What legal fallout? Discord made users agree to new terms just a week ago that involves forced arbitration.
Forced arbitration clauses are not legal in many European jurisdictions, so “agreeing” to them didn’t actually do anything.
Are they legal in any EU jurisdictions? I’d hope not.
Not to mention half of their TOS being illegal/unenforceable in the first place.
Dunno, just didn’t want to make a statement I’m not sure of.
Sounds like Discord is about to have 2 million cases of arbitration to sort out.
One person takes them to arbitration, it’s short work for their legal team, if 1000 do it’s harder, if 100,000 do, you still have to respond in a timely manner. The costs would be astronomical.
Valve and a few others removed it for that reason, it’s a bomb waiting to blow.
Forced arbitration tends to backfire massively when you have something of this scale because of everyone starts doing it. The cost of that forced arbitration is more than what the lawsuits would have been without it. It’s a big reason why like steam got rid of it. If you get too many people trying to go after you, it’s just not worth it and costs too much.
And US courts allow companies to reverse force abortion if it no longer suits the company!
I’m not sure if Discord’s ToS apply to zendesk