Louis Rossmann, a popular tech repair YouTuber, has made a video discussing a hidden risk associated with Google Pixel phones: forced arbitration. In the video, Rossmann explains what forced arbitration is and why it’s a bad deal for consumers in the US.
Forced arbitration is a clause buried in a company’s terms of service that requires customers to resolve any disputes with the company through binding arbitration, instead of going to court. This means that customers cannot sue the company in court, and instead, must have a private judge decide the case.
Rossmann argues that forced arbitration makes it difficult for consumers to win cases against companies, and that it also makes it difficult for consumers to hold companies accountable for wrongdoing. He gives the example of Apple and their faulty keyboards. Because Apple included a forced arbitration clause in their terms of service, consumers were unable to sue Apple in court over the keyboards. Instead, they had to go through binding arbitration, which is a much more difficult process for consumers to win.
What users say about Google Pixel and forced arbitration
I spotted a Reddit post that discusses this concern about forced arbitration clauses hidden within Google Pixel’s sales agreements. Some users believe that Google intentionally buries these clauses in fine print to make it difficult for consumers to challenge them in court if their Pixel phone is defective. They argue that such clauses are anti-consumer and limit customer protections.
On the other hand, others point out that arbitration can be faster and less expensive than lawsuits. However, this benefit often comes at the expense of transparency and fairness. In arbitration, consumers typically have limited rights to discovery (the process of gathering evidence) and limited ability to appeal decisions.
The takeaway
Forced arbitration is a complex issue with pros and cons. While it can be faster and less expensive than lawsuits, it can also make it more difficult for consumers to win cases against companies. It’s important to be aware of forced arbitration clauses before you buy any product, including Google Pixel phones.
Here are some additional things to keep in mind:
- You can sometimes opt out of forced arbitration clauses, but you typically have to do so within a short window of time after purchasing a product. Thankfully, Google lets you opt out.
- If you’re concerned about forced arbitration, you can contact the company directly to see if they will waive the clause.
- There are also a number of organizations that are fighting against forced arbitration. You can learn more about these organizations and their work online.
As mentioned in the beginning, these conditions apply to folks in the US. So while I can’t relate the it on a personal level, I’d like to know your thoughts on Google’s hidden forced arbitration. Should the company be more transparent about it? Let me know in the comments below. For those interested, here’s the full video that I highly recommend watching: