Study each of the following cases carefully. Briefly state the principle of law and your decision.
Entering into Contracts on the Web Netscape offered all visitors to its website free “SmartLoad” software provided the visitor clicked his or her mouse on a designated box labeled “Download.” A reference to a license agreement appeared on the screen in which the “Download” box was located, but the license agreement itself appeared on the next screen. The license agreement contained a clause requiring that any dispute between the parties proceed to arbitration, rather than to court. Six plaintiffs later filed suit against Netscape relating to the software. Netscape demanded that the suit be dismissed and that all the plaintiffs be compelled to have their claims arbitrated instead. Will the plaintiffs be required to have their disputes resolved by an arbitrator, or will the court rule that the license agreement was not a part of the contract? [ Specht et al. v. Netscape et al., 150 F. Supp. 2d 585 (New York)]
Principle of Law:
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Decision:
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