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Tim Cushing lists this under the self-inflicted-reputation-wounds-are-surprisingly-pricey dept.
Geek gadget also-ran KlearGear gained internet infamy thanks to the following paragraph tucked away on its "Terms of Sale and Use" page:
In an effort to ensure fair and honest public feedback, and to prevent the publishing of libelous content in any form, your acceptance of this sales contract prohibits you from taking any action that negatively impacts KlearGear.com, its reputation, products, services, management or employees.
Tacked onto this absurd redefining of "fair and honest feedback" was a $3,500 fee. This was [leveled] at a couple who complained about the non-delivery of products it had paid for. This went to court, and the couple was awarded over $300,000 in a default [judgment] when KlearGear no-showed.
For the most part, this would seem to be a cautionary tale--something other companies would take into consideration when crafting their own terms of service. But some companies are still apparently willing to dance with the Devil Streisand by including onerous fees tied to the phrase "fair and honest feedback." Not only will the enforcement of this clause likely result in large amounts of public shaming, but in some states, this may actually be illegal.
In the interest of discouraging future KlearGears from dragging their customers' credit ratings through the mud in response to bad reviews, we present a list of companies that still maintain similar clauses on their websites, along with dollar amounts demanded if this clause is violated.
(Score: 3, Interesting) by bzipitidoo on Friday December 19 2014, @03:59AM
Worst EULA I ever read had some real gems in it. Was from a tiny company calling itself Timberwolf, based in Dallas.
1. You agreed that you had to give them all the work you did that could be related to their product. There was no time limit on that clause, so apparently that included all your work ever, even if it was decades before their company was founded.
2. You had to let them on to your company premises on demand, instantly, any time during normal working hours, and let them inspect the contents of any computers they pleased. Quite extraordinary overreach there, just to check if you were committing any piracy.
3. They reserved the right to take their product away from you instantly. You could only lease their product, not buy it. You of course could not terminate the relationship as quickly, you had to give them 30 days notice in writing. And you had to return all copies of the software. Until you did, you couldn't end the relationship. Therefore, assuming you were fool enough to agree to such a relationship to begin with, the obvious way to end the relationship quickly was to stir up their paranoia that you were about to steal their intellectual property so that they would rush over and terminate your lease.
I had read enough, and decided to just download and pirate their stuff. No way was I going to agree to all that. But they held back a software key that you couldn't have until you signed the agreement. So, I simply didn't use their stuff.
(Score: 1, Informative) by Anonymous Coward on Friday December 19 2014, @04:12AM
2. You had to let them on to your company premises on demand, instantly, any time during normal working hours, and let them inspect the contents of any computers they pleased. Quite extraordinary overreach there, just to check if you were committing any piracy.
If that worries you, stay away from Microsoft products then.
http://www.cnet.com/au/news/microsoft-kicks-off-the-year-of-the-audit/ [cnet.com]