News & Analysis as of

Terms of Service Consumer Contracts Mandatory Arbitration Clauses

BCLP

Is Your Company Vulnerable to a Mass Arbitration Attack? What It is and How to Prevent It

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A recent trend in litigation has emerged that is causing companies to re-think conventional wisdom. Until now, it has been a widely adopted best practice for retailers and other consumer-facing companies to include mandatory...more

Lathrop GPM

California Appellate Court Rules that Customer Agreed to Franchisor’s Arbitration Requirement in “Clickwrap” Agreement

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A state appellate court in California reversed a superior court’s denial of a massage franchisor’s motion to compel arbitration. Jane Doe #1 (I.G.) v. Massage Envy Franchising, LLC, 2023 WL 8801517 (Cal. Ct. App. Dec. 20,...more

Burns & Levinson LLP

Learn From Uber’s Miscues to Ensure Your Electronic Agreement Is Enforceable

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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

Steptoe & Johnson PLLC

Pennsylvania Appellate Court Invalidates Online Arbitration Clause in Hyperlinked 'Terms and Conditions'

Steptoe & Johnson PLLC on

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

Womble Bond Dickinson

Court enforces Arbitration Clause in Clickwrap Agreement of “Ganjapreneur” App

Womble Bond Dickinson on

A California Court granted Defendant’s motion to compel arbitration based on a duly formed and consented arbitration clause via a “clickwrap” agreement, despite Plaintiff’s argument that no contract was ever formed because...more

Faegre Drinker Biddle & Reath LLP

By Clicking Continue . . .

The Northern District of Illinois recently denied a motion to compel arbitration in a putative class action, and in doing so found that the defendants failed to show that the plaintiff had agreed to arbitrate the dispute when...more

Carlton Fields

First Circuit Holds Online Mandatory Arbitration Agreement Is Unenforceable

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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

Seyfarth Shaw LLP

First Circuit Invalidates Arbitration Clause In Uber’s User Agreement

Seyfarth Shaw LLP on

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

Ballard Spahr LLP

Online Arbitration Agreement Must Be “Reasonably Communicated and Accepted”

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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

Proskauer - New Media & Technology

New York State Court Declines to Compel Arbitration, Cites Purported Ambiguities in Mobile Contracting Process

Courts are increasingly taking a magnifying glass to electronic contracting processes, particularly how the presentation of the terms of service and call to action are displayed. As such, companies might take a second look at...more

Buchalter

Uber Victory Provides Relief Regarding Enforceability of App Terms and Conditions

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

Proskauer - New Media & Technology

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

Orrick, Herrington & Sutcliffe LLP

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

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