Business Solutions Corporation (BSC) sells business application software—wage, price, and inventory coordinatingprograms, for example—in different combinations and packages, at different prices, downloadable online. To complete a deal, a purchaser

Question

clicks on a button that, with reference to certain terms, states, "I agree.". What is this sort of agreement called? Do the parties have a binding, enforceable contract that includes the terms? Explain.

Answer 1

This is a click-on agreement, which occurs when a buyer, to complete a transaction on a computer, indicates his or her assent to be bound by the terms of an offer by clicking on a button that says, for exam¬ple, "I assent," or, in this question, "I agree.".Such an agreement is likely to be enforceable if the party who agreed to the terms had an opportunity to read them before the contract was made (unless the terms are objectionable on grounds that apply to contracts generally). If the terms were not revealed un¬til after the agreement was made, however, they are unlikely tobe considered part of the deal, as in cases in¬volving shrink-wrap agreements.
In this question, the parties would probably have a binding contract that includes the terms. The question states that the button referred to the terms, meaning that the buyer knew, or should have known, what he was agreeing to.