Clickwrap Agreements

News & Analysis as of

Court Upholds Enforceability of “Clickwrap” Employee Agreement

As we have previously discussed, if you want your electronic contracts to be enforceable, it is a best practice to require the counterparty to affirmatively accept the contract by checking a box or clicking a button. A recent...more

Second Circuit: Placing Order Online Did Not Bind Customer to Amazon’s Arbitration Provision

In an important decision underscoring the challenges faced by retailers and others in enforcing online arbitration agreements with their customers, the U.S. Court of Appeals for the Second Circuit has reversed a district...more

Court: Web Registration Did Not Establish User Assent to Arbitration Agreement

Perhaps overshadowed in the raging battle over the Consumer Financial Protection Bureau's proposal to ban the use of class action waivers in consumer arbitration agreements involving consumer financial products or services is...more

SDNY Refuses to Enforce Uber’s Online “Sign-In-Wrap” Terms, Arbitration Provision and Jury Waiver Clause

On July 29, 2016, the Southern District of New York, in Meyer v. Kalanick, refused to enforce mandatory arbitration and jury waiver provisions against a putative class of Uber consumers. In a lengthy and strongly worded...more

Pokémon Go and the Evolving Arena of Clickwrap Enforcement Against Children

According to the official Pokémon website, “kids all over the world have been discovering the enchanting world of Pokémon [for over 15 years].” Not surprisingly, many of us who used to be kids in the 15+ years are playing...more

Federal Court Decision Provides Useful Guidance to Companies Offering Products and Services Pursuant to Online Terms of Use

On July 29, 2016, Judge Jed Rakoff of the U.S. District Court for the Southern District of New York issued an opinion and order in Meyer v. Kalanick, denying Uber Technologies' motion to compel arbitration of a consumer's...more

Court Denies Uber Motion to Compel Arbitration of Class Antitrust Claims Because Mobile App’s Terms of Service Were Inconspicuous

Late last week, influential federal judge Jed Rakoff of the Southern District of New York denied a motion to compel arbitration of an antitrust class action complaint pending against ride-hailing pioneer Uber Technologies....more

Browsewrap Agreement Held Unenforceable – Website Designers Take Note!

In Nghiem v Dick’s Sporting Goods, Inc., No. 16-00097 (C.D. Cal. July 5, 2016), the Central District of California held browsewrap terms to be unenforceable because the hyperlink to the terms was “sandwiched” between two...more

Eleventh Circuit: No Arbitration Because Bank Failed to Prove Existence of Arbitration Agreement

Last week, the Eleventh Circuit refused to compel arbitration because the defendant financial institution failed to prove that its online deposit agreement actually included an arbitration clause. This decision reflects the...more

A Binding "Clickwrap Agreement" From Paper?

Consumers and businesses routinely enter into binding contracts by means of both paper agreements and online “click-through” agreements. But what happens when you face a “hybrid” contract? Can a binding contract be formed...more

Six Ways Site Design Can Potentially Render TOS Agreements Unenforceable

Our recent posts on successful legal challenges to the arbitration clauses in browsewrap and clickwrap agreements have a theme in common—even the most thorough and well-worded agreement can be rendered unenforceable by...more

Clickwrap Kryptonite: Don’t Let Site Design Undermine Your TOS

We previously covered the developing legal issues with browsewrap agreements and the importance of reviewing and updating any such agreement to ensure users are bound to the terms. In a browsewrap agreement, the user’s assent...more

How Binding Is Your Browsewrap Agreement?

Anyone who has purchased a product online or downloaded software for a computer, tablet or mobile device has likely encountered “browsewrap” and “clickwrap” agreements. Such agreements are the bread and butter of companies...more

California Court Refuses to Dismiss Biometric Privacy Suit against Facebook

The District Court for the Northern District of California recently issued what could be a very significant decision on a number of important digital law issues. These include: the enforceability of “clickwrap” as compared...more

Socially Aware: The Social Media Law Update Volume 7, Issue 3

How To Protect Your Company’s Social Media Currency - Today’s companies compete not only for dollars but also for likes, followers, views, tweets, comments and shares. “Social currency,” as some researchers call it, is...more

Clickwrap Agreement From a Paper Contract?

Can a binding contract be formed merely with a link to another set of terms? (For background on this topic, check out our earlier post What, exactly, is a browsewrap? which reviews browsewraps, clickwraps, clickthroughs,...more

Class Actions and the Continued Significance of Arbitration Agreements

The recently released Carlton Fields 2016 Class Action Survey reports that class actions are up for the first time in four years. While data privacy class actions still make up a relatively small portion of class action...more

Seventh Circuit Throws Out TransUnion’s Clickwrap Agreement and Incorporated Class Waiver

In recent years, and in particular since decisions like AT&T Mobility LLC v. Concepcion, 563 U.S. 333 (2011), a powerful defense to consumer class actions has been arbitration agreements that include class waivers. The...more

Beware the Scrollable Window: The Seventh Circuit Strikes Down an Internet Contract

If you’re like us—and most others, we’ll venture to guess—you’ve never read all the terms and conditions of the iTunes end-user license agreement. We doubt that it’s a scintillating read, but, regardless, most...more

Purchasing Flowers Ends in Reforming Browsewrap Agreements

A California Court of Appeal has taken its first stance on the website design requirements necessary for an enforceable browsewrap agreement. On March 17, 2016 the Court of Appeal affirmed the California Superior Court of Los...more

Consumer Fraud, Unfair Trade Practices, and Internet Purchases

If you buy a product through a website, and then the product doesn’t live up to its promises, can you sue the manufacturer for violating N.C. Gen. Stat. § 75-1.1? A recent decision by the federal court in Boston...more

Clickwrap, Browsewrap and Mixed Media Contracts: A Few Words Can Go a Long Way

Courts have generally categorized such online agreements into two types: “clickwrap” agreements and “browsewrap” agreements. Clickwrap agreements—which require a user to check a box or click an icon to signify agreement...more

Click it to Stick it: Guide to Creating Binding Online Agreements

Contract terms and purchaser assent to those terms, conditions, intended use and warning information provided with a purchased product are known fertile ground for defending product claims. In today’s virtual age,...more

Socially Aware: The Social Media Law Update Volume 6, Issue 4

Five social media law issues to discuss with your clients - The explosive growth of social media has clients facing legal questions that didn’t even exist a few short years ago. Helping your clients navigate this...more

Why You Care The E.U. Struck Down Safe Harbor Data Protection And What to Do About it [Updated]

Earlier this month the Court of Justice of the European Union struck down the EU-U.S. Safe Harbor Framework which previously provided U.S. companies comfort in that they could follow the framework and know they were not...more

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