Valve Corporation has revised its Steam subscriber agreement to remove the mandatory arbitration clause following ongoing pressures from mounting arbitration fees. The technology company informed its user base via email update that disputes and claims now must be litigated in court. The updated agreement can be reviewed here.
The newly updated dispute resolution policy specifies that any legal complaints shall be filed exclusively in state or federal court located in King County, Washington. This amendment not only eliminates the arbitration requirement but also does away with specific provisions related to class action waivers and cost and fee-shifting.
Previously, the agreement stipulated that disputes would be resolved via individual binding arbitration. However, this arrangement posed significant fiscal challenges for Valve, particularly highlighted in a pending class-action lawsuit involving allegedly inflated game prices.
Valve’s decision arrives in the wake of a legal battle with law firm Zaiger, LLC, which had proposed to recruit tens of thousands of clients to file arbitration claims against Valve, potentially costing the company millions of dollars in fees. Valve’s attempt to litigate against Zaiger for what it described as an “extortive plan” was ultimately dismissed earlier this year.
Despite the fees, many Steam users had found arbitration advantageous, obtaining compensation for overvalued games with relative ease, according to law firms that represented them. Ultimately, for consumers, this change may mean higher litigation costs compared to the previously simpler arbitration process. For a more detailed account, refer to the complete article from Ars Technica.