Mainichi: Class suit filed by ripped-off users against Yahoo! Auctions rejected
A court rejected a 150 million yen damages suit filed by users of Yahoo! Auctions who didn't receive the items that they'd successfully bid on and paid for. "The defendant (Yahoo!) raised caution in a timely manner to prevent users from falling victim to fraud," Presiding Judge Mitoshi Kuroiwa said at the Nagoya District Court, ruling in favor of the operator of the nation's largest auction site. The court dismissed the suit filed against Yahoo! Japan by 780 users, who demanded a total of 158 million yen in damages for failing to provide sufficient fraud protection. The plaintiffs, from 46 prefectures across the nation, successfully bid for such items as car navigation systems or DVD recorders through the Yahoo! Auction site, paying anything from around 7,400 yen to 3 million yen per person. The victims argued that Yahoo! should implement better fraud protection measures such as more warnings, disclosing information on auctioneers, a full compensation system and a reliability evaluation system by a third party. However, the judge concluded that the defendant was not liable for their losses, pointing out that the company's user agreement states that users join the auctions at their own risk. Furthermore, the ruling said that potential fraudulent auctioneers are likely to offer false information on themselves on the auction site, and that a compensation system wouldn't stop fraudulent activities...more...