Needish wins Chile consumer rights lawsuit

Launched in 2007, Needish was bought out by Groupon in 2010.

SERNAC had argued that Groupon‘s terms and conditions outlined on its website contained several abusive clauses in detriment to consumers’ rights, and was seeking to force Needish to pay compensation for damages caused to consumers who purchased goods and services under said conditions.

In line with Needish’s defense, the Court of Appeal of Santiago found that the claimant did not satisfactorily prove the effectiveness of the facts alleged, thus dismissing the majority of the alleged abusive clauses and dismissing the claim for the payment of compensation.

The ruling by the Supreme Court brings to an end a dispute between the two parties that dates back to 2013.

The Supreme Court accepted the grounds given by the Courts of Appeal, adding that the alleged abusiveness of the clauses was not effective, since they did not produce an imbalance between the parties of the company-consumer relationship.

The Court stated that the judges assessed the evidence in compliance with the rules stipulated by Law No. 19,496, finding that Needish was not liable for any breach of those rules, and ruling in favor of Needish.

Needish was advised in the case by DLA Piper in Chile, with a team led by Macarena Iturra, and who was assisted by associate Andrea de la Vega.