Monday, February 8, 2010

Dell Warranty Class Action Lawsuit Allowed To Proceed In Ontario

If you’re in Ontario and you have a Dell computer, you may want to pay attention to this. Law professor Micheal Geist has been tracking the story of a young man who needed his computer fixed:

In 2004, Ian Andrews purchased a Dell laptop computer for $1,700. About 2 1/2 years later, the computer began to malfunction, periodically shutting down unexpectedly. Stuck with a problem computer that was past the standard warranty period, Andrews complained to Dell. The computer giant responded that the online contract governing the initial purchase required him to resolve the dispute by arbitration.

Andrews recognized this was not a realistic approach, later stating that, as a university student, he was not in a financial position to retain counsel to support an arbitration claim. Instead, he chose a different course of action, suing the company as part of a class-action lawsuit that brought together thousands of consumers experiencing similar problems.

Dell challenged the class-action suit, but last month the Ontario Court of Appeal sided with Andrews, ruling that it could proceed.

This sounds somewhat similar to a Dell lawsuit that I’ve written about in the past. Why is this decision important for people in Ontario? I’ll let Geist explain:

This latest case represents a major win for Canadian consumer groups, who have tangled with Dell before in a case that ultimately went to the Supreme Court of Canada. Businesses operating online may understandably prefer to limit their likely liability through arbitration, but the resounding response from the Ontario legislature and courts indicates that it should not be possible to force consumers to click away their class-action rights.

I’m all for having consumers protected, so as far as I’m concerned this is great for them. I do have one question though. Dell keeps getting hit with these types of lawsuits. I wonder what’s up with that? Perhaps it’s something that they need to look at so that they are still a viable choice for those who want to buy PCs.

[Via http://itnerd.wordpress.com]

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