4 ms·
Yep, as of last night RH had also delisted 1/29 options for GME. 2/6 options are still available, which maybe points to RH hoping/thinking this all unwinds in t
by mizzack 6y ago
Yep, as of last night RH had also delisted 1/29 options for GME. 2/6 options are still available, which maybe points to RH hoping/thinking this all unwinds in the next few days.
Sign me up for the class action...
- frongpik 6y agoDon't the ToS include a waiver of taking any legal action against RH, class action suits in particular, and a binding arbitration clause in case you really want to make some noise?
- mizzack 6y agoAlmost certainly. Don't expect the SEC to step in here, either.
- muskox2 6y agoIs having a clause like that in your ToS legal?
- ascagnel_ 6y agoIn the US, yes, a terms of service can force binding arbitration.
- dd36 6y agoAnd the CFPB had made a rule outlawing it for financial firms and then the Republican senate killed it with the Congressional Review Act.
- wrkronmiller 6y agoIANAL but I believe that some clever lawyers have used this to the advantage of the victims by essentially creating a DOS attack on the company, flooding it with binding arbitration claims. https://www.nytimes.com/2020/04/06/business/arbitration-overload.html https://www.nytimes.com/2020/04/06/business/arbitration-over...
- logicchains 6y agoJust because something's in a TOS doesn't make it legally enforceable, especially if you've got enough money collectively for expensive lawyers.
- frongpik 6y agoWell, in this case the ToS will be a contract one needs to "digitally sign" in order to open an RH account. RH would simply claim that its customers didn't have to accept the terms, regardless of how bs those were. I'm not a lawyer, though.
- dd36 6y agoFalse. There’s no way out of a forced arbitration agreement that bans class actions. The courts always defer to arbitration, even when arbitrability is in question. It’s a ridiculous judicially made trap.
- koolba 6y agoIf they're able to coordinate a short squeeze, they can easily coordinate demand for thousands of arbitration requests. And we know what happened to DoorDash when they tried to play that game: https://www.reuters.com/article/us-otc-doordash/this-hypocrisy-will-not-be-blessed-judge-orders-doordash-to-arbitrate-5000-couriers-claims-idUSKBN2052S1 https://www.reuters.com/article/us-otc-doordash/this-hypocri...