1. The Right to Gripe.
- Author
-
Edwards, Mitchell R. and McBurney, Mackenzie C.
- Subjects
- *
CIVIL penalties , *ONLINE banking , *CONTRACTS - Abstract
The article discusses the "right to gripe" law in California, which prohibits businesses from including non-disparagement clauses in their contracts that restrict customers from writing negative reviews. The first lawsuits testing this law have been filed against Bank of America (BOA) and US Bank, alleging that their online banking service agreements violate the "right to gripe" law. BOA and US Bank have moved to dismiss the lawsuits, arguing that the law does not apply to their agreements and that the agreements only govern conduct, not speech. The court granted BOA's motion to dismiss but allowed the customers to amend their complaint. A similar suit against US Bank is also proceeding. Violators of the "right to gripe" law can face civil penalties, and other states, such as Maryland and Utah, have similar laws. The outcome of these lawsuits may provide guidance on the acceptable provisions in banking services agreements. [Extracted from the article]
- Published
- 2024