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“Amazon has updated its terms and conditions to require disputes to be resolved through arbitration, effectively preventing customers from seeking class-action lawsuits. This move could have significant implications for consumers in the US, who may be limited in their ability to seek redress for grievances. The update also includes a class-action waiver, which could further restrict customers' rights.”
Core Impact Points
On Friday, Amazon customers received an email alerting them to an update to the site's terms and conditions. Most notably, it stated that disputes would now be resolved through arbitration and said users agree to a class action waiver.
Amazon framed this as a "fast and efficient" way to resolve issues, but it notably would prevent customers from seeking the involvement of a judge or jury in most circumstances. Customers can still take Amazon to small claims court in certain circumstances, though payouts are often limited to a few thousand dollars.
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