Amazon will no longer use of arbitration for consumer disputes

Amazon has announced to customers in the USA that it will no longer resolve their legal issues and complaints involving consumer rights through arbitration. Anyone using Amazon products will have to pursue disputes with the company in federal court. The decision to drop arbitration was not explained, but celebrated by consumer stakeholders involved with consumer protection in the USA. Arbitration is seen as a widespread strategy used by tech companies to avoid liability. Amazon faces over 75 thousand arbitration claims alleging that Alexa recorded customers without their consent. According to the New York Times, Amazon potentially owes tens of millions of dollars in fees that will be paid to private arbitrators. The cases always go through a private and secretive process.