What is a Clickwrap Agreement?

Nov 6, 2013 4:00:43 AM

One way of forming a contract between a website (or more precisely, the owner of the website) and its users is the so-called clickwrap agreement, in which website users manifest their acceptance of the contract by clicking a button or checking a box that states "I agree" (or something similar) after being presented with the website legal agreement. Clickwrap agreements derive their name by analogy to old-school "shrinkwrap" agreements used to license tangible forms of software sold in shrink wrapped packages. Just as breaking the shrinkwrap seal and using the enclosed computer program after encountering notice of the existence of governing license terms has been deemed by some courts to constitute assent to those terms in the context of tangible software, clicking on a webpage's clickwrap button after receiving notice of the existence of license terms has been held by courts to manifest an Internet user's acceptance of those terms.

Be sure to check our other posts regarding clickwrap agreements to learn about making sure they are enforceable, and other best practices.

Brian Powers

Written by Brian Powers

PactSafe CEO & Founder

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