This analysis describes what PayPal'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
This provision establishes that covered disputes between users and PayPal proceed through individual arbitration, which limits the procedural mechanisms available to users for resolving financial or contractual grievances with PayPal outside of the arbitration forum specified in the agreement.
Interpretive note: Enforceability of class action waivers in consumer financial service contracts varies by jurisdiction and may be subject to state unconscionability doctrine, particularly in California.
Previous version combined arbitration and class waiver into one provision; current version separates them into two distinct provisions with significantly expanded language specifying types of claims covered and small claims court exception.
View full change record →Previous version separated arbitration and class action waiver into two provisions; current version consolidates them into one and adds explicit reference to Legal Agreements page compliance.
View full change record →How other platforms handle this
If, however, this Class Action Waiver is deemed invalid or unenforceable with respect to a particular Dispute...neither you nor Chegg will be entitled to arbitration of such Dispute.
the arbitration provider, National Arbitration and Mediation ("NAM"), shall not accept or administer any demand for arbitration and shall administratively close any arbitration unless the Party bringing such demand for arbitration can certify in writing that the terms...were fully satisfied.
Neither you nor we may elect arbitration of any claims seeking only individualized relief asserted by you or us in small claims court, so long as the action remains in that court and is not removed or appealed de novo...
"These terms include an agreement to resolve disputes by arbitration on an individual basis. Please read carefully all of the terms and conditions of this user agreement... If you accepted this user agreement prior to us posting notice of the changes on our Policy Updates page, then such notice will be provided at least 21 days before the applicable effective date.Excerpt from PayPal's User Agreement
Coinbase's User Agreement includes a mandatory arbitration clause that most users may not have reviewed. Here is what the clause states and how the opt-out process works.
561 arbitration provisions across 197 platforms. ConductAtlas tracks how dispute resolution is being restructured across the internet.
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This provision establishes that covered disputes between users and PayPal proceed through individual arbitration, which limits the procedural mechanisms available to users for resolving financial or contractual grievances with PayPal outside of the arbitration forum specified in the agreement.
ConductAtlas has identified this type of provision across 206 platforms. See the full comparison.
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