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Canadian Court Sides With Dell Against Class Actions

An anonymous reader writes "Michael Geist reports that the Supreme Court of Canada has just issued a new online contracting decision that removes the ability for consumers to challenge mandatory arbitration clauses found in e-commerce contracts. (Decision is here.) The case involved a lawsuit against Dell Computer, which refused to sell hundreds of mistakenly priced computers purchased on their website. Dell tried to sidetrack a class action by claiming that all consumers were required to enter arbitration due to a clause buried in its contract via a hyperlink. Geist explains why the ruling may not be as unfavorable for Canadian consumers as it seems at first, in part because some provinces have already passed laws banning e-commerce sites from blocking class-action suits."

6 of 127 comments (clear)

  1. Re:Advertised price != actual price? by smeagols_ghost · · Score: 4, Informative

    In Australia, supermarkets (and places that bide by the supermarkets code of practice, like servos,7-11 ect) for products under $50 must give you the first item which scans at the wrong price (or labeled incorrectly) free (if you know to ask) and subsequent items at the correct price.

  2. Quebec is Different by Hal+The+Computer · · Score: 5, Informative

    This decision is not very applicable to the rest of Canada because Quebec is a civil law jurisdiction (like Continental Europe and Louisiana). The court looks to the Civil Code of Quebec to decide the case.

    In the rest of the provinces, the court looks to the "common law", that is to say, rulings in previous cases. This is similar to England and most of the United States.

    If you read the supreme court's decision, it relies heavily on the Civil Code of Quebec.

    Of course, I am not a laywer and this is not legal advice. If you want advice, pay for it.

    --

    int main(void){int x=01232;while(malloc(x));return x;}
  3. Re:Good idea by HitekHobo · · Score: 5, Insightful

    And where do you live where there is free speech and respect for individual liberty?
    As far from civilization as possible?
  4. Re:Good idea by p0tat03 · · Score: 4, Informative

    May I also mention that the 10% of the US population captured 25% of the beaches on D-Day? :P

  5. Re:Good idea by Anonymous Coward · · Score: 4, Funny

    Those guys only had to deal with crack SS divisions at Caen while the Americans took their sweet time capturing Cherbourg.

    Also the grandparent conveniently forgets to mention WWI where the Canadians captured Vimy Ridge, where the British and French had previously failed. Yanks would also do well to remember which is the only nation to have successfully invaded their country and burn their capital city to the ground.

  6. Re:Good idea by mr_matticus · · Score: 4, Informative

    Unless new legislation has passed since I was there last, this isn't true. It's true for sundries and food below $50 or $100. It certainly does not apply to electronics at AU$1000, or to my knowledge, to electronics at all.

    Websites are not responsible for pricing errors as long as it's caught prior to completion of the transaction. The key there is completion of the transaction--that's not when you click "buy" or when your card is authorized for the amount. It's when the product is invoiced and has shipped. If they don't catch it in that time, you're clear. But 99% of the time, they catch it between ordering and invoicing (most companies review invoices before issuing them for just this very reason since the process up until that point is wholly automated).

    If such an error occurs after an order is placed, they will contact you. You can choose to accept the higher price and continue, cancel the order, or seek some sort of comp/freebie for the trouble. Just like you don't create a contract when you place an offer on a house or call in an order at a restaurant, clicking "buy" on a website doesn't complete a contract. It initiates one. For example, if your card is declined or if the product is out of stock, that's the end of it. A contract is not in place until your money has been taken (not merely authorized) and an irrevocable invoice for a product has been provided to you.