Legal Definitions - click-wrap agreement

A click-wrap agreement is a type of contract formed online where a user indicates their acceptance of terms and conditions by clicking a button or checking a box. This action, often labeled "I Agree," "Accept," or similar, signifies that the user has reviewed and consented to the legal terms presented to them, thereby forming a legally binding agreement.

Here are some examples illustrating how click-wrap agreements work in practice:

• Software Installation: Imagine you are installing a new photo editing software on your computer. During the installation process, a window appears displaying the End-User License Agreement (EULA), which outlines how you are permitted to use the software. At the bottom of this window, there's a button labeled "I Accept" or "Decline." By clicking "I Accept," you are entering into a click-wrap agreement, legally binding you to the terms of the EULA, such as limitations on copying or distributing the software.

• Online Service Sign-Up: When you create an account for a new streaming service, social media platform, or email provider, you typically fill out a registration form. Before you can finalize your account creation by clicking a "Sign Up" or "Create Account" button, you often see a statement like, "By clicking 'Sign Up,' you agree to our Terms of Service and Privacy Policy." This statement, coupled with your click, forms a click-wrap agreement, meaning you've legally agreed to abide by the service's rules, data handling practices, and other conditions.

• E-commerce Purchase: Suppose you are buying concert tickets from an online vendor. After selecting your tickets and proceeding to checkout, you might encounter a page summarizing your order. Before you can click "Place Order" or "Confirm Purchase," there's often a checkbox that says, "I have read and agree to the Ticket Purchase Terms and Conditions." Checking this box and then completing your purchase constitutes a click-wrap agreement, obligating you to the vendor's policies regarding refunds, ticket transfers, and event changes.