Nintendo has recently modified its End User License Agreement (EULA), making it more challenging for consumers to initiate lawsuits against the company. The update introduces a class action waiver specifically in section 16, which now prohibits users from pursuing class action lawsuits.
Details of the New EULA Provisions
This significant change was first noticed on a subreddit dedicated to Nintendo and later reported by various gaming news outlets. The new clause states:
“This arbitration provision precludes you and Nintendo from suing in court, having a trial by jury, or participating in a class action. You and Nintendo agree that arbitration will be solely on an individual basis and not as a class arbitration, class action, or any other kind of representative proceeding. You and Nintendo are each waiving the right to trial by a jury.”
Options for Consumers
Instead of permitting users to take legal action, Nintendo urges dissatisfied customers to submit their concerns directly through its Contact Center. Users have the option to opt out of the arbitration clause by sending a written notice within 30 days following their acceptance of the EULA.
Dispute Resolution Process
If users successfully opt out, any disputes will be managed under section 18, which dictates that all claims, including intellectual property matters, will be governed by the laws of Washington State. Furthermore, any legal proceedings must occur in King County courts, with both parties agreeing not to challenge this venue. In the event of a dispute, both Nintendo and the user are expected to engage in informal negotiations in good faith for a minimum of 30 days, unless a longer timeframe is mutually agreed upon.
Background on Class Action Suits
This update comes in the wake of class action lawsuits related to Joy-Con drift issues that arose in 2019 and 2020. By implementing these changes, Nintendo appears to be preemptively addressing potential future legal challenges.