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11 Yale J.L. & Tech. 1 (2008-2009)

handle is hein.journals/yjolt11 and id is 1 raw text is: WARRANTIES AND DISCLAIMERS IN THE ELECTRONIC AGE
Robert A. Hillman* & Ibrahim Barakat**
11 YALE J.L. & TECH. 1 (2009)
ABSTRACT
This article reports on software-licensor express warranty
and disclaimer practices on the Internet. Our data show that virtually
all of the websites and End User License Agreements (EULAs) we
sampled include express warranties on the website and disclaimers of
the warranties in the EULAs that may erase all or much of the quality
protection. Next, the article reviews the reasons why consumers
generally do not read their e-standardforms despite the prevalence
of disclaimers and other adverse terms. We then argue that e-
commerce exacerbates the problem of warranties and disclaimers
and that lawmakers should address this issue. We contend that
improved disclosure of disclaimers, including making them easily
accessible on a website prior to any particular transaction and
possibly even the subject ofapop-up window during a transaction, is
the best of various imperfect solutions to the problem. Disclosure is
inexpensive and, at minimum, creates the potential for more
legitimate consumer assent to e-standardforms, including assent to
disclaimers of warranty. Even if in the short term consumers do not
read their forms, perhaps consumers will eventually learn of
misleading warranties and disclaimers because the Internet creates
communication possibilities and research tools unavailable to
disgruntled purchasers in the paper world The prospect of the word
getting out that a licensor does not intend to stand behind its
promises and representations may be sufficient to curtail the practice
of misleading warranties and disclaimers.
* Edwin H. Woodruff Professor of Law, Cornell Law School. The author is
Reporter, Principles of the Law of Software Contracts, American Law Institute.
All ideas expressed herein are the authors' and not those of the American Law
Institute. We thank Mark Grube for able research assistance and the faculty of
Boston University Law School for very helpful comments at a workshop
presentation.
**Associate, White and Case, L.L.P.; J.D. 2008, Cornell Law School.

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