Beware of Shrink Shrink––wrap & Click– Cli k–wrap Contracts Click C ! E h l Chait Ethel Ch i Stein, S i 1 ethel@dspcsp.com © Esq. Why bother with this now? (a) Copying a paper work is: - complicated - expensive - inaccurate - labor intensive 2 ethel@dspcsp.com © Why bother with this now? (b) Copying a digital work is: - easy - cheapp - accurate 3 ethel@dspcsp.com © Endd User License i Agreementt Contract Law: - binding between parties - nonenforceable f bl against i t 3rd parties ti Limit transferability!! intent Æ expression of intent Æ binding 4 ethel@dspcsp.com © Need for new legal mechanism Mass produced works: - CD - downloads d l d 5 ethel@dspcsp.com © Shrink S k – wrapp Contracts Digital Di it l works: k - software - database - image collections Notice By opening this package you are consenting to be bound byy its license agreement. g If you y do not agree to all of the terms of this agreement return the unopened product to the place of purchase for a full refund. Cases: ProCD oC vs. Zeidenberg, e de be g, Brower owe vs. Gateway, Klocek oce vs. Gateway 6 ethel@dspcsp.com © Nimmer’s Critique on Shrink-wrap • Dangerous protection • Circumvention of IPR law IPRÆ exclusivity for : - originality - spark of creativity Æ limited in: - scope - time 7 ethel@dspcsp.com © Click-wrap Contracts Software digitally distributed Æ Problem: verification of: 1) intent to be bound by a contract 2) agreement to license terms 8 ethel@dspcsp.com © Click-wrap notice: By clicking on the “accept” b bottom you are consenting i to be bound by the license agreementt. If you d do nott agree to all of the terms of thi agreement, this t click li k the th “do not accept” button now ACCEPT 9 DO NOT ACCEPT ethel@dspcsp.com © Notice valid IF: 1)) Prominent display p y of terms 2) User is aware of HIS acceptance Cases: Hotmail vs.Van Moneyy Pie,, Register g vs. Verio 10 ethel@dspcsp.com © C.A.P.T.C.H.A. (introduction) C.A.P.T.C.H.A No contract between: - person & computer - 2 computers Did a human accept p ? Case: Ticketmaster vs. Tickets.Com 11 ethel@dspcsp.com © C.A.P.T.C.H.A. Completely Automated Public Turing i test to tell ll Computers p & Humans Apart ® Carnegie Mellon University 12 ethel@dspcsp.com © Summary • Necessary development of contract law • IPR Law Æ equilibrium q between: - individual individual’ss rights - society society’ss rights 13 ethel@dspcsp.com © Th End. The d Thank You!!! 14 ethel@dspcsp.com ©