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Contracts

Aug. 22, 2014

Website terms that won't bind arbitration

The 9th Circuit recently held that where a website user did not receive sufficient notice of the terms in a browsewrap agreement, an arbitration clause was not enforceable against the purchaser. By John A. Vogt and Kevin C. Brantley


By John A. Vogt and Kevin C. Brantley


In Nguyen v. Barnes & Noble Inc., 2014 DJDAR 11191 (Aug. 18, 2014), the 9th U.S. Circuit Court of Appeals, applying state law contract principles, recently held that where a website user did not receive sufficient notice of the terms in a browsewrap agreement in connection with a web-based transaction, an arbitration clause contained in the terms of use of that website was not enforceable against the purchaser. In...

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