Class-Action Lawsuit Challenges Minors' Purchase of Facebook Credits

by Mercator Advisory Group 0

The lawsuit was filed by Glynnis Bohannon of Arizona, who is seeking a refund for her son’s purchase of Facebook Credits. The suit argues that Facebook does not take enough action to verify the personal information of its users. Facebook’s Payment Terms read:

If you are under the age of 18, you may make payments only with the involvement of a parent or guardian. You should review these Payments Terms with a parent or guardian to make sure that you both understand them.

Facebook’s payment terms may face challenges beyond the website’s interaction with minors. Many of the terms Facebook users agree to when they purchase Facebook Credits raise doubts as to the value of the product being purchased. As written, these terms limit Facebook’s ability to extend the platform beyond virtual goods. Here is selection from Facebook’s Payment Terms:

  • When you purchase or receive Credits, you do not own the Credits. Rather, you receive a limited right to use such Credits in connection with certain features on Facebook, such as the purchase of a virtual gift.
  • Except as otherwise stated, purchases of Credits are non-refundable.
  • You will not sell Credits to anyone, or transfer them to anyone outside of Facebook.
  • We may change the purchase price for Credits at any time as well as the ways that you can use or transfer Credits. We also reserve the right to stop issuing Credits.
  • We may change these Payment Terms, in whole or in part, even though the changes may affect accumulated Credits.

You can read Facebook’s complete payment terms here.