PlayStation users have been overcharged on their digital gaming purchases resulting in individual damages ranging between £67 and £562.
The legal claim is said to be a collective action from consumer rights champion Alex Neil against the famous company. Neill claims that Sony has been in breach of competition law in which the company had abused its dominance in the market to enforce unfair terms on the PlayStation store.
According to the filed claim from Neil, anyone that has purchased anything from the PlayStation store, whether it was: A Full Digital Game, Add-on Content and more since 2016, are each entitled to compensation. Sony has allegedly achieved this by “ripping off” consumers by charging a flat 30% commission on any purchase made via the PlayStation store. Because of this consumers have been overcharged for a grand total of £5bn over the last six years.
Alex Neil stated that “The game is up for Sony PlayStation.” He continued by saying that “With this legal action I am standing up for the millions of UK people who have been unwittingly overcharged. We believe Sony has abused its position and ripped off its customers.”
Neil further stated that: “Gaming is now the biggest entertainment industry in the UK, ahead of TV, video and music and many vulnerable people rely on gaming for community and connection. The actions of Sony are costing millions of people who can’t afford it, particularly when we’re in the midst of a cost of living crisis and the consumer purse is being squeezed like never before.”
Alex Neil is also not alone, he is being advised by Law Firm, Milberg London LLP. The head of this case at Milberg, Natasha Pearman stated this: “Sony dominates the digital distribution of PlayStation games and in-game content. It has deployed an anti-competitive strategy which has resulted in excessive prices to customers that are out of all proportion to the costs of Sony providing its services.
“This claim is only possible because of the opt-out collective action regime that was introduced by the Consumer Rights Act 2015; a regime which Alex fought to introduce. We are looking forward to working with Alex and making sure that the regime achieves its aims of protecting and compensating consumers.”
In addition to all of this, this case is being backed by Woodsford, an investing company that backs legal cases with funding in exchange for a cut of the proceeds. Woodsford has also backed various other legal cases including class actions against train companies in the UK for overcharging.
What do you think about this lawsuit? Comment your thoughts down below.
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