You give up your right to join with other Paramount+ users in a class action lawsuit, meaning any legal claim must be pursued individually, not as part of a group.
This analysis describes what Paramount+'s agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
Class actions allow consumers to pool resources and challenge corporate practices that cause small individual harms but large collective harm; this waiver eliminates that option for Paramount+ subscribers.
Interpretive note: Enforceability may be limited in certain jurisdictions, particularly California, and is likely unenforceable for EU users under applicable consumer law directives.
This clause means that even if many Paramount+ subscribers are harmed in the same way, such as by an improper billing practice, each person must pursue their claim individually rather than collectively, which often makes small-dollar claims economically impractical to pursue.
How other platforms handle this
You and Teachable agree to resolve any disputes through final and binding arbitration, except as set forth under Exceptions to Agreement to Arbitrate below. You also agree that disputes will only be resolved on an individual basis and not as a class, consolidated, or representative action.
Any dispute arising from or relating to the subject matter of these Terms shall be finally settled by arbitration in San Francisco County, California, in accordance with the Streamlined Arbitration Rules and Procedures of Judicial Arbitration and Mediation Services, Inc. ("JAMS") then in effect, by ...
WHERE PERMITTED UNDER THE APPLICABLE LAW, YOU AND NETFLIX AGREE THAT EACH MAY BRING CLAIMS AGAINST THE OTHER ONLY IN YOUR OR ITS INDIVIDUAL CAPACITY, AND NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY PURPORTED CLASS OR REPRESENTATIVE PROCEEDING. Further, where permitted under the applicable law, unless ...
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"YOU AND PARAMOUNT EACH WAIVE THE RIGHT TO A TRIAL BY JURY AND THE RIGHT TO LITIGATE DISPUTES IN COURT. YOU AND PARAMOUNT ALSO EACH AGREE THAT EACH MAY BRING CLAIMS AGAINST THE OTHER ONLY IN YOUR OR ITS INDIVIDUAL CAPACITY AND NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY PURPORTED CLASS, CONSOLIDATED, OR REPRESENTATIVE ACTION.— Excerpt from Paramount+'s Paramount+ Terms of Use
(1) REGULATORY LANDSCAPE: The class action waiver interacts with Rule 23 of the Federal Rules of Civil Procedure and is enforced under the Federal Arbitration Act at the federal level. The Supreme Court has upheld class action waivers in arbitration agreements in consumer contexts. State-level courts, particularly in California, have periodically applied the unconscionability doctrine to limit such waivers. (2) GOVERNANCE EXPOSURE: High. The combination of mandatory arbitration and class action waiver is among the most significant rights-limiting provisions in consumer agreements. While common in the streaming industry, it remains a focal point for consumer advocacy and regulatory attention. (3) JURISDICTION FLAGS: California presents the highest risk of challenge. EU consumer law generally prohibits waiver of collective redress rights, so this provision may be unenforceable for EU-based users under applicable directives. Illinois and New York have also produced consumer-protective precedent in this area. (4) CONTRACT AND VENDOR IMPLICATIONS: The class action waiver applies to the consumer relationship and is unlikely to be replicated in commercial partner agreements. Procurement teams engaging Paramount+ for enterprise licensing should confirm that separate dispute resolution terms govern their relationship. (5) COMPLIANCE CONSIDERATIONS: Legal teams should monitor legislative developments in key states that are moving to restrict or prohibit class action waivers in consumer contracts. Any regulatory guidance from the FTC or state AGs addressing class action waivers in streaming services should trigger a review of this provision.
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Class actions allow consumers to pool resources and challenge corporate practices that cause small individual harms but large collective harm; this waiver eliminates that option for Paramount+ subscribers.
This clause means that even if many Paramount+ subscribers are harmed in the same way, such as by an improper billing practice, each person must pursue their claim individually rather than collectively, which often makes small-dollar claims economically impractical to pursue.
ConductAtlas has identified this type of provision across 86 platforms. See the full comparison.
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