Forced arbitration with Smartwool socks: Difference between revisions
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Smartwool is a brand of wool clothing. The incident described in this summary is a example of post-purchase EULA (End User License Agreement) modification (colloquially referred to as "EULA roofieing"). It occurs when a business attempts to create or modify a contract after a sale on the basis of no-response from customers. Often this is done as prudence for business interests. However, EULAs create the potential for unjust situations<ref>[[Disney wrongful-death lawsuit]]</ref>. To illustrate the magnitude of risk posed by a clothing-related EULA, one can imagine a less responsible company accidentally including toxic dyes or coatings due to supply chain mishaps. In such a case they might avoid paying damages to the harmed consumers. | Smartwool is a brand of wool clothing. The incident described in this summary is a example of post-purchase EULA (End User License Agreement) modification (colloquially referred to as "EULA roofieing"). It occurs when a business attempts to create or modify a contract after a sale on the basis of no-response from customers. Often this is done as prudence for business interests. However, EULAs create the potential for unjust situations<ref>[[Disney wrongful-death lawsuit]] - wiki.rossmanngroup.com - accessed 2025-01-29</ref>. To illustrate the magnitude of risk posed by a clothing-related EULA, one can imagine a less responsible company accidentally including toxic dyes or coatings due to supply chain mishaps. In such a case they might avoid paying damages to the harmed consumers. | ||
A feature of this example is the strategic use of asymmetry. The business delivered their opt-in in a inexpensive, unexpected, and casual nature. The consumer has to do absolutely nothing to opt-in, and they can opt-in without reading it. Opting out is difficult, tedious and relatively expensive. | A feature of this example is the strategic use of asymmetry. The business delivered their opt-in in a inexpensive, unexpected, and casual nature. The consumer has to do absolutely nothing to opt-in, and they can opt-in without reading it. Opting out is difficult, tedious and relatively expensive. | ||
==Incident of post-purchase EULA modification== | ==Incident of post-purchase EULA modification== | ||
According to a viewer of the Rossman channel,<ref>https://www.youtube.com/watch?v=670rwHz1WV8</ref> Smartwool emailed a list of their account holders stating that they were opting them into forced arbitration, and to opt out, they must send a letter. through USPS Priority Mail, which is not the First Class mail that people typically use for mailing letters. | According to a viewer of the Rossman channel,<ref>[https://www.youtube.com/watch?v=670rwHz1WV8 "Forced Arbitration On SOCKS! Purposely Difficult Opt Out Scam Explained"] - youtube.com - accessed 2025-01-29</ref> Smartwool emailed a list of their account holders stating that they were opting them into forced arbitration, and to opt out, they must send a letter. through USPS Priority Mail, which is not the First Class mail that people typically use for mailing letters. | ||
[[File:Screenshot from "Forced Arbitration On SOCKS! Purposely Difficult Opt Out Scam Explained".png|thumb|600px|Text from the EULA as it appeared.]] | [[File:Screenshot from "Forced Arbitration On SOCKS! Purposely Difficult Opt Out Scam Explained".png|thumb|600px|Text from the EULA as it appeared.]] | ||
In addition to being a post-purchase action, the customers were opted in via email and could not simply reply to the email to opt out.<ref>https://www.smartwool.com/customer-service/terms-of-use.html</ref> | In addition to being a post-purchase action, the customers were opted in via email and could not simply reply to the email to opt out.<ref>[https://web.archive.org/web/20240404051459/https://www.smartwool.com/customer-service/terms-of-use.html "Smartwool terms of use"] - archive.org - archived 2024-04-04</ref> | ||
==References== | ==References== | ||
<references /> | <references /><!-- Should we be using references when referencing other wiki articles? --> | ||
[[Category:EULA roofieing]] | [[Category:EULA roofieing]] | ||
[[Category:Legal Lockout]] | [[Category:Legal Lockout]] | ||
[[Category:Incidents]] | [[Category:Incidents]] |