Thursday, November 09, 2006

Shrink-wrap License Agreement Case

Interesting case at http://www.kscourts.org/kscases/supct/2006/20061027/95102.htm. The Kansas Supreme Court holds that a shrink-wrap license agreement that treats use of the software as acceptance of the terms is not binding upon a customer who previously signed a written contract for the purchase of the software. Where that contract failed to incorporate the license, the license terms are "additional terms" that require the customer's further assent.

The moral for software purveyors is to ensure that their click-wrap or shrink-wrap licenses contain appropriate merger clauses!

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