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Wednesday, March 30, 2016

Ind. Decisions - "Beware the Scrollable Window: The Seventh Circuit Strikes Down an Internet Contract"

The 7th Circuit opinion in Sgouros v. TransUnion Corporation, which the ILB highlighted on March 25th, is the subject of a long post today in the Wisconsin Appellate Law blog. A sample:

The Seventh Circuit’s recent decision in Sgouros v. TransUnion Corp., No. 15-1371 (7th Cir. March 25, 2016), decided under Illinois law, is a cautionary tale for those that operate in this digital realm. The court declined to enforce an arbitration provision because that term was buried at the bottom of a scrollable window (and not immediately visible on the page), with no prompt directing the user to scroll to the bottom. Chief Judge Diane Wood wrote for the court, in an instructive opinion that included screenshots from TransUnion’s webpage. * * *

The Seventh Circuit explained that the result might have been different had TransUnion “plac[ed] the agreement, or a scroll box containing the agreement, or a clearly labeled hyperlink to the agreement, next to an ‘I Accept’ button that unambiguously pertains to that agreement.”

The scrollable window is not, the Seventh Circuit held, “in itself, sufficient for the creation of a binding contract.”

Posted by Marcia Oddi on March 30, 2016 09:42 AM
Posted to Ind. (7th Cir.) Decisions