In the last six years, consumers have been overcharged between £67 and £562 per individual for digital gaming purchases, according to the lawsuit.
Nine million claimants are suing Sony PlayStation for £5 billion, alleging that the company “ripped them off” with costly games and in-game purchases.
Alex Neill, an advocate for consumer rights, has filed a class action lawsuit against the gaming corporation. It is alleged that the corporation violated competition law by misusing its market dominance to impose unfair terms and conditions on game developers and publishers, so driving up consumer prices.
The PlayStation Store allegedly “ripped customers off” by charging a 30% commission on every digital game and in-game purchase.
In the past six years, consumers have been overcharged up to £5 billion for their digital gaming purchases, according to the legal action.
According to the lawsuit filed with the Competition Appeal Tribunal on Friday, everyone in the United Kingdom who has purchased digital games or add-on content on their console or through the PlayStation Store since 19 August 2016 may be eligible for compensation.
The anticipated damages per individual class member are between £67 and £562, interest not included.
Ms. Neill stated, “Sony PlayStation is ready to play.”
“By filing this lawsuit, I am standing up for the millions of British citizens who were unintentionally overcharged. We believe Sony has taken advantage of its position and defrauded its customers.
Gaming is currently the largest entertainment sector in the United Kingdom, surpassing television, video, and music, and many vulnerable individuals rely on gaming for community and connection.” “Sony’s actions are hurting millions of people who can’t afford it, especially when we’re in the midst of a cost-of-living crisis and consumer spending has never been tighter.
Alex Neill is represented by Milberg London LLP.
Natasha Pearman, the partner leading the case, stated, “Sony dominates the digital distribution of PlayStation games and in-game content; it has employed an anti-competitive strategy that has resulted in excessive prices to customers that are disproportionate to Sony’s costs of providing its services.
This claim is only feasible due to the opt-out collective action system enacted by the Consumer Rights Act of 2015, a regime for which Alex battled. We look forward to working with Alex to ensure the regime achieves its goals of consumer protection and compensation.”
Woodsford, a team of litigation and arbitration experts investing in major commercial claims, is funding the lawsuit, so class members will not be required to pay any of the costs of the action themselves.