A recent ruling by the U.S. Court of Appeals for the Seventh Circuit affirming a decision compelling arbitration provides a “how to” guideline for using online terms and conditions to form a binding agreement....more
Professor Jeff Sovern, who recently joined the University of Maryland Francis King Carey School of Law faculty, has recently blogged about a forthcoming Study by academicians at other institutions that will be published in...more
As discussed in a blog post last year, Uber learned the hard way that with online agreements, it can take more than a simple provision stating “all disputes must be arbitrated” to ensure that your customers cannot sue you in...more
The Pennsylvania Superior Court recently invalidated Uber’s use of a mandatory arbitration clause in an online registration page for customers, ruling that the arbitration clause was unenforceable because it did not clearly...more
Online agreements are often favored by providers for their flexibility and for reducing friction in the customer contracting process. A particular benefit is the ability to update these agreements by providing notice to...more
A recent Law360 article notes that “a growing number of state court rulings” have invalidated arbitration agreements in online contracts. As an example of this “trending pushback” by state courts, the article discusses...more
The Law Court recently weighed in on a matter of critical importance – the enforceability of online consumer contracts. Confronting the issue in a case involving ride-sharing giant Uber’s efforts to enforce an arbitration...more
In a case of first impression, the California Court of Appeal, Fourth District (San Diego), considered "under what circumstances a 'sign-in wrap' agreement … is valid and enforceable" between consumers and online companies...more
As an ever-increasing amount of contract negotiation and execution is done online, new legal issues have arisen from such transactions. Consider the following scenario: You are a general/prime contractor. You have a...more
On Jan. 4, the Massachusetts Supreme Judicial Court issued a ruling in Kauders v. Uber Technologies Inc. that has important implications for the enforceability of online and/or app contracts, and the arbitration agreements...more
The global pandemic has brought about countless changes, including, for many households, increased reliance on online retail and delivery services, such as Amazon. When consumers sign up for these services or place their...more
Many online services feature comprehensive terms of use intended to protect their business from various types of risks. While it is often the case that a great deal of thought goes into the creation of those terms, frequently...more
Online service providers typically seek to mitigate risk by including arbitration clauses in their user agreements. In order for such agreements to be effective, however, they must be implemented properly. Babcock vs. Neutron...more
In recent years, courts have issued a host of rulings as to whether online or mobile users received adequate notice of and consented to user agreements or website terms when completing an online purchase or registering for a...more
Adhesion contracts are ubiquitous in modern internet commerce, and the rules of contract formation are generally the same for contracts entered offline and those entered online. Parties are generally bound by terms and...more
Last week, the Ninth Circuit upheld the district court's grant of a motion to compel individual arbitration in a case that "tests the outer limits of what constitutes a 'reasonably conspicuous' provision" in an online...more
Courts throughout the country continue to express skepticism over, and go to lengths to deny the enforceability of, arbitration provisions in consumer online agreements. A recent example from the New York Supreme Court for...more
On July 19, 2018, in May, et al. v. Expedia Inc., U.S. Magistrate Judge Mark Lane issued a Report and Recommendation recommending that U.S. District Judge Robert Pitman for the Western District of Texas grant a motion to...more
The First Circuit recently held that an arbitration clause contained in the online contract of the ride sharing app, Uber Technologies, Inc., is unenforceable under Massachusetts law. ...more
Executive Summary and Takeaway. User agreements for websites and apps have become increasingly prevalent in recent years, and courts have had to adapt traditional rules of contract interpretation to the new digital frontier....more
Ruling in a class action brought against Uber Technologies, Inc., the U.S. Court of Appeals for the First Circuit recently held that the company's arbitration clause could not be enforced because it was not "reasonably...more
This week, the First Circuit weighed in on a hot topic – the enforceability of arbitration provisions in online contracts. ...more
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
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
Last week, the Southern District of New York followed a long line of precedent under New York law and upheld the enforceability of a website clickwrap agreement, granting a website operator’s motion to compel arbitration...more