As blogged about by E-commerce and TechLaw, Linden Research, the creator of Second Life, had to learn this the hard way in federal court recently.
Well, someone did take them to court and the federal court decided that the arbitration provision was unenforceable, because it was procedurally and substantively unconscionable ( Bragg v. Linden Research Inc., No. 06-4925 (E.D. Pa. May 30, 2007).
Some of the court’s reasons:
- There is no second Second Life. Thus, Second Life had "superior bargaining power" over its users.
- The arbitration provision was hidden in a long provision with no descriptive heading.
Thus, resist the urge to be a jerk and put yourself into the shoes of your web site visitors. Clearly, you want to protect your own, but try to be somewhat fair.
**This post is for informational purposes only and does not constitute legal advice**