Are Your Electronic Agreements Enforceable?

In today's digital marketplace, direct sellers rely heavily on electronic agreements to govern their relationships with customers, vendors, and partners. But whether these electronic agreements are enforceable depends, at least in part, on how your policies and other terms are presented to users and the way assent is obtained. Courts scrutinize these issues closely, emphasizing that even minor design choices can make the difference between a binding electronic agreement and an unenforceable set of terms.

Here, we provide an update on the evolving California legal landscape surrounding the enforceability of electronic agreements and offer practical guidance on how direct sellers can structure electronic contracting/enrollment processes to help minimize legal risk.