News & Analysis as of

Clickwrap Agreements

Business Litigation E-Note - September 2017

by Burr & Forman on

Cyber threats take many forms. The widespread WannaCry ransomware attack in May of 2017 highlighted how computer files could be held hostage in return for payment, while the Dyn denial of service in October of 2016...more

Ninth Circuit Rejects Claim That Amazon’s Terms and Conditions Are an Unconscionable Contract

In an unpublished opinion, the Ninth Circuit affirmed a lower court’s ruling that had sent a putative class action against Amazon over its pricing practices to arbitration, as per Amazon’s terms of service. (Wiseley v....more

Update Your Browsewrap and Clickwrap Agreements

by Revision Legal on

A recent California case reminds businesses and website owners that browsewrap and clickwrap agreements must be conspicuous for courts to enforce them. See Long v. Provide Commerce, Inc., 245 Cal.App.4th 855 (2nd Dist. 2016)....more

Clickwraps and Browsewraps Oh My! Terms of Online Vendor Agreements - Are They Enforceable?

by Rumberger Kirk & Caldwell on

Often times, in seeking to enforce a term or condition of an online transaction, such as an arbitration clause, an online vendor will discover that (in the eyes of the law) the consumer never agreed to the transaction’s terms...more

Second Circuit Court of Appeals Reaffirms Strong Federal Preference for Enforcing Arbitration Agreements in the Evolving Era of...

by Foley & Lardner LLP on

In a big win for the tech industry and app developers, and for other companies seeking to enforce arbitration agreements through web-based interactions, last week the Second Circuit Court of Appeals held that the plaintiff in...more

Gig Employers, Arbitration Agreements, and the Power of the “Click”

by Fisher Phillips on

How important is your businesses’ terms of service (TOS) agreement, usually presented to users of your business model through a process requiring them to click “I agree” before they can access your platform? A recent case...more

Second Circuit Scraps District Court’s Denial of Uber’s Motion to Compel Arbitration

On August 17, 2017, the Second Circuit Court of Appeals vacated a district court’s denial of Uber’s and Mr. Travis Kalanick’s motions to compel arbitration in a case involving price-fixing accusations. In Meyer v. Kalanick,...more

Second Circuit Upholds Uber’s Mobile Contracting Process, Establishing Template for Mobile Online Contracting

In recent years, courts have issued varying rulings as to whether online or mobile users adequately consented to user agreements or terms of service when completing an online purchase or registering for a service. In each...more

On-line Arbitration Agreements: A Tale of Two “Click Wraps”

What makes an on-line arbitration agreement binding against a website user? In Meyer v. Uber Technologies, Inc., 2017 U.S. App. LEXIS 15497 (2d Cir. Aug. 17, 2017), the U.S. Court of Appeals for the Second Circuit issued a...more

Mobile App Terms and Conditions Decision Clarifies Best Practices in App Designs to Support Enforcement of Contract Provisions

The Second Circuit issued a decision of interest to every company that utilizes a mobile app to interact with its customers. In Meyer v. Kalanick, the court enforced the mandatory arbitration provision in the Uber app. The...more

Landmark Second Circuit Ruling Clarifies the Standards for Mobile Contracts

On August 17, 2017, the United States Second Circuit Court of Appeals issued a landmark ruling in Meyer v. Kalanick that clarifies the standards for contract formation in the age of smartphones and mobile contracting,...more

Uber Victory Provides Relief Regarding Enforceability of App Terms and Conditions

by Buchalter on

Last week, a federal court ruled that mandatory arbitration provisions in lengthy mobile application Terms of Service can be binding, regardless of whether a customer takes the time to read them. This ruling in favor of Uber...more

Uber Uses Arbitration (And Clean Design) To Put Brakes On Consumer Class Action

Last Thursday, the Second Circuit found that the arbitration agreement in Uber’s Terms of Service was conspicuous enough to be binding and enforceable. As a result, the claims of a putative class of consumers will be...more

Browsewrap Disclosure Held Insufficient to Constitute “Prior Express Written Consent” Even for a Healthcare-Related Call

by Dorsey & Whitney LLP on

Folks involved with selling health insurance, or anything else for that matter, and who rely upon browsewrap website terms might want to give Sullivan v. All Web Leads, Inc., No. 17-cv-1307, 2017 U.S. Dist. LEXIS 84232 (N.D....more

Is Arbitration Just a Click Away?

by Burr & Forman on

With online retailers challenging brick and mortar stores, the importance of online transactions and the terms of the contracts they create has never been greater. In the context of arbitration, courts are increasingly being...more

Uber Steers for Mandatory Arbitration

by Robins Kaplan LLP on

After its bid to compel arbitration stalled in the district court, Uber is gearing up to argue before the Second Circuit that its users waive their right to a jury trial when they sign up for its app. The defendants in...more

Employees Bound by Non-Compete Agreement When They Clicked “Accept” to a Bonus on Intranet

Two employees who clicked “accept” on an online form in order to receive a bonus were bound by additional language that included an agreement to not compete in the future. Messrs. Lynch and Halpin worked in sales for ADP, and...more

Click Here — 3rd Circuit Enforces Restrictive Covenants Tied to Electronic Acceptance of Stock Award

On February 7, 2017, the Third Circuit affirmed a partial preliminary injunction order barring two former ADP employees from soliciting customers for their new employer for one year. This decision is notable as it affirmed...more

[Event] A Nuts-and-Bolts Conversation About Terms of Use for Websites, Software and Contracts - March 2nd, Seattle, WA

by BakerHostetler on

BakerHostetler invites you to join us for a one hour complimentary seminar (followed by Q&A) offering practical considerations for managing risk and liability in online and other contracts. Our session will cover trending...more

Know Where Your Student Data is Going!

by Franczek Radelet P.C. on

As we move into the second half of the school year, we want to remind districts and charter schools of the importance of securing and protecting student data. Educators use and share student data in dynamic ways that improve...more

Terms And Conditions For Your App: 6 Key Considerations

by Morrison & Foerster LLP on

For corporations, the mobile app is today’s website. Back in the late 1990s, no self-respecting company, no matter how stodgy and old-fashioned, wanted to be without a website. Originally published in Law360,...more

Website Design Implicated in Two Rulings on Enforceability of Online Terms – Highlights the Importance of Legal Review of Design...

This past summer, we wrote about two instances in which courts refused to enforce website terms presented in browsewrap agreements. As we noted, clickthrough agreements are generally more likely to be found to be enforced. ...more

Socially Aware: The Social Media Law Update Volume 7, Issue 6

Commercializing user-Generated Content: Five risk reduction strategies - We’re in the midst of a seismic shift in how companies interact with user-generated content (UGC). For years, companies were happy simply to...more

“Yes, I Agree”: With a Click, Uber Drivers Can Waive Right To Bring Class Action Suits

by BakerHostetler on

Recently, in a major win for employers and companies that transact business on the internet, the Ninth Circuit upheld the use of arbitration class-action waivers in so-called clickwrap agreements. These types of agreements...more

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

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