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A Big Win for Mobile App Terms Of Service Agreements in Uber Case

Accepted submission by tonyPick http://hackingonspace.blogspot.co.uk/ at 2017-08-19 07:32:05
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Several sites are reporting on the decision in the case of Uber versus Spencer Meyer that the terms of service attached to a mobile application are legally binding [theregister.co.uk], even when the terms are only available via a hyperlink, and you don't actually see them or need to read them to register the application.

In this case Uber argued that Spencer Meyer, who filed an antitrust lawsuit against Uber, had agreed to a mandatory arbitration process [wikipedia.org] as part of the terms of service when registering with the Uber application, and could not enter litigation as a result.

From The Register [theregister.co.uk]:

On Thursday, the US Second Court of Appeals decided [regmedia.co.uk] [PDF] that when customers installed Uber's ride-hailing app and agreed to the terms and conditions – even though virtually none of them actually read the details – they were obliged to go through arbitration if they had a dispute with the company.

The Independent [independent.co.uk] has a similar summary on the judgement:

The argument underpinning the decision revolved around a scenario familiar to anyone with a smartphone: what happens when a customer assents to the often-dense terms of service attached to using a new app.

In directing the case to arbitration, the United States District Court of Appeals for the Second District, vindicated Uber and other tech firms who argued customers should be expected to be bound by what they agreed to - even if that would mean wading into a thicket of text.

"While it may be the case that many users will not bother reading the additional terms, that is the choice the user makes," the Second Circuit's decision says.

Further coverage at Business Insider [businessinsider.com] and Courtroom News [courthousenews.com].


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