From JDSupra, Michael Lundholm and Anna McLean disuss a recent 9th Circuit Court of Appeals decision which suggests that companies that that use online terms and conditions should adequately indentify themselves and use a “clickwrap” which requires users to express thier agreement to the agreement before proceeding. Michael and Anna write:
This case has several key takeaways for businesses or other entities that make use of arbitration and class action waiver provisions in contractual agreements with consumers entered into via a website interface. One takeaway is that it is vital that an arbitration or class action waiver provision adequately identify the parties to the agreement. Although common corporate trade names are typically acceptable, generic terms like “employer,” “business,” or “corporation” are not enough and could invalidate the agreement.
Source: Ninth Circuit Decision in Live Nation and Ticketmaster’s Favor Highlights Subtleties of Drafting Enforceable Arbitration Provisions | Sheppard Mullin Richter & Hampton LLP – JDSupra