In the fine print of the user agreement you must approve to activate the new Xbox Live Dashboard that Microsoft rolled out this week, you must agree to waive your right to sue the company.

This language is similar to clauses inserted in recent user agreements from Sony and Electronic Arts. The Microsoft agreement, it states that users whose claims against the company have not been satisfied through normal customer service channels must then submit to a binding arbitration process -- and are not able to engage in any lawsuit or class action against the company.

Even more notable is the provision that states Microsoft's liability to any user is limited to around $5 for Gold Members and nothing for Silver users.

Seems like you're giving up a lot of your legal rights just to use the new Dashboard.

Source: Gamespot