Abstract
Like transactions in the paper world, online consumer transactions are dominated by standard form contract terms. The online era has brought with it various mechanisms of entry into agreements, including shrink wrap, click wrap and browse wrap agreements. With increasing alacrity, consumers are mouse-clicking their way into standard form contracts on the internet. A major challenge with the otherwise called online contracts of adhesion is the perception that consumers do not often read or understand the fine-print terms and this makes it difficult to identify the requisite “meeting of the minds” or “mutual assent” of contract formation. When confronted by a lengthy and incomprehensible standard form contract, the response of many, if not most, consumers is to click “yes”’ – without reading the contract or giving it careful consideration. The paper examines how case law responds to the issues of no-reading and assent in an online consumer standard form environment. The paper recommends some practical guides for implementation of technique of legal agreements in the light of case law. Keywords : consumer, standard form contract, terms and conditions, no-reading, assent DOI : 10.7176/EJBM/11-17-02 Publication date :June 30 th 2019
Highlights
The law of contracts has developed over centuries and has had to transform so as to keep pace with economic, political and technological developments
The terms were coined in imitation of the "shrink wrap" licences that were found under the packaging of boxes of software.4The paper considers these kinds of online standard form contract and examines case law response to the issues of nonreadership and assent
The court held that a contractual relationship was formed between the software vendor and purchaser upon acceptance of orders for the software issued via telephone, and the shrink wrap license agreement which the purchaser saw for the first time after the contract had been formed was ineffective under the Uniform Commercial Code (UCC) to modify the terms of the previously formed contract.[7]
Summary
The law of contracts has developed over centuries and has had to transform so as to keep pace with economic, political and technological developments. The terms were coined in imitation of the "shrink wrap" licences that were found under the packaging of boxes of software.4The paper considers these kinds of online standard form contract and examines case law response to the issues of nonreadership and assent.
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