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Terms of Use Unenforceable Contract Terms

Fenwick & West LLP

That’s a Wrap: Ninth Circuit Signals Tougher Standards for Enforceability of Online Agreements

Fenwick & West LLP on

On February 27, 2025, the Ninth Circuit affirmed the district court’s ruling in Chabolla v. ClassPass, finding that the “sign-in wrap agreement” on the ClassPass website was not an enforceable contract because it did not...more

Fisher Phillips

Federal Appeals Court Provides 3-Step Roadmap For Creating Enforceable Online Agreements

Fisher Phillips on

A recent federal appeals court decision rejecting a business’s attempts at enforcing its online arbitration agreement offers lessons for businesses across the country on how to craft a valid agreement for your website. The...more

Husch Blackwell LLP

NJ Court Rules Clickwrap Arbitration Clause Enforceable

Husch Blackwell LLP on

On March 31, 2022, a lawyer and her husband sustained personal injuries after their rideshare driver ran a red light and collided with another vehicle. The lawyer underwent numerous surgeries and other procedures after...more

Morrison & Foerster LLP - Social Media

Lose Your Illusion: District Court Holds That Unilateral Modification Clause Makes TOS Unenforceable

On August 8, 2024, the U.S. District Court for the Eastern District of Virginia in Lovinfosse v. Lowe’s Home Centers, LLP addressed the enforceability of an arbitration clause in Lowe’s terms of service, serving as a reminder...more

Troutman Pepper Locke

Arbitration Clause Rendered Illusory and Unenforceable by Unilateral Amendment Clause, Says Virginia Federal District Court

Troutman Pepper Locke on

In a recent decision, the U.S. District Court for the Eastern District of Virginia denied a retailer’s motion to compel individual arbitration of a claim brought in a putative class action lawsuit. The complaint alleges that...more

Pierce Atwood LLP

District Of Massachusetts Holds That Consumers With No Arbitration Agreement Must Arbitrate Their “Closely Intertwined” Class...

Pierce Atwood LLP on

It is a legal maxim that arbitration is a creature of contract. A recent District of Massachusetts decision explores critical questions about when that creature can exist outside of the confines of a binding agreement to...more

Blake, Cassels & Graydon LLP

SCC Decision Calls into Question Enforceability of Choice of Forum Clauses in Consumer Contracts

In June 2017, the Supreme Court of Canada (SCC) released its decision in Douez v. Facebook (Douez). The case concerned the application of a choice of forum clause included in Facebook’s terms of use to stay a class action...more

Bennett Jones LLP

Supreme Court of Canada Leaves Forum Selection Clauses in a State of Uncertainty

Bennett Jones LLP on

Facebook, Inc. (Facebook) recently lost a decision before the Supreme Court of Canada regarding the enforceability of the forum selection clause in its standard terms of use. Accordingly, organizations should carefully review...more

Sheppard Mullin Richter & Hampton LLP

Consumer Review Fairness Act’s Point of “No Return”

On December 14, 2016 the United States Congress passed an act known as the “Consumer Review Fairness Act of 2016” (“CRFA”). The stated goal of this new legislation is “to prohibit the use of certain clauses in form contracts...more

Morrison & Foerster LLP - Social Media

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

Proskauer - New Media & Technology

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

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