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CA Court Strikes Blow Against Hidden EULAs

vsprintf writes "Ed Foster's Gripelog has a story on California's ruling against some of our favorite software producers and software retailers. EULAs inside the shrinkwrap are no longer good enough. Retailers with rules against accepting returns of open software could be in for hefty fines or settlements. Finally, a break for the buyer. May this spread quickly to other states."

15 of 640 comments (clear)

  1. soggy frist psot by Anonymous Coward · · Score: 5, Funny

    by reading this post you agree not to moderate it down. only moderations of +1 insightful will be allowed.

  2. What next? by krautcanman · · Score: 5, Interesting

    What's next? Will we have to read and agree to the EULA before we can buy?

    1. Re:What next? by cyberlotnet · · Score: 5, Informative

      No you moron, they expect you to read the package prior to opening it, SEE the reference to the EULA online. Go online and read it before opening the package..

      If you don't agree you can then bring it back and not have any issues because the package is not open.

    2. Re:What next? by NanoGator · · Score: 5, Insightful

      "If you don't agree you can then bring it back and not have any issues because the package is not open."

      Why do some think this is an acceptable business practice?

      --
      "Derp de derp."
    3. Re:What next? by AstroDrabb · · Score: 5, Insightful
      Hey moron, what if you are buying a _computer_ and you don't have access to the internet? Exactly how do you get online to see this "great" EULA?

      Also moron, is every "consumer" expeted to be a lawyer or hire one before each purchase? Have you ever read an EULA from MS or any other big corp? They are not written for the average user to understand. They are written in lawyer-speak. So exactly how is a _customer_ expected to get a fair-shake when they are required to _not_ purchase a product until they hired a lawyer who goes to the companies web-site and interprets the EULA for them?

      --
      If Tyranny and Oppression come to this land,
      it will be in the guise of fighting a foreign enemy. -James Madison
    4. Re:What next? by SirGeek · · Score: 5, Funny
      In some cases that may not be a bad idea. What if the EULA says "by buying this u sign your left nut away to us to do with as we please.

      Then, I'll have my wife buy it. If she as a left nut, she sure as hell doesn' need it ...

  3. Frys by Cyberglich · · Score: 5, Funny

    i can't wait to put this to the test at frys

    1. Re:Frys by Shut+the+fuck+up! · · Score: 5, Funny

      i can't wait to put this to the test at frys

      To you and any other dirty hippy out there: If I am behind you in line and you try to explain this court ruling to a clerk, I WILL KICK YOUR ASS UP AND DOWN EVERY AISLE IN THE STORE.

    2. Re:Frys by I+WILL+KICK+YOUR+ASS · · Score: 5, Funny

      Shut the fuck up!

  4. Ideally by nuggz · · Score: 5, Insightful

    Well in this case a few things could happen.

    1. Companies will make simple consumer readable EULAs.

    2. People will sign away all their rights without checking the fine print.
    2a Resulting in a raft of stupid consumer protection.
    2b Huge public backlash when the companies try to press their rights.

    3. Some people will not accept these agreements and the EULA might become a factor on what software you purchase.

  5. Hidden EULAs by OverflowingBitBucket · · Score: 5, Interesting

    Not only is it ridiculous to attempt to change the terms of sale after sale with hidden EULAs, AFAICT it is generally not legally binding to do so, unless specifically legislated to do so. I seem to recall specific legislature in some state in America, easy mod points to those who know it.

    IA-definitely-NAL but in a very-very-light commercial law subject I took at Uni we looked at cases where terms and conditions were displayed inside a carpark (which you can't see unless you purchase the ticket). When something went wrong, the ones trying to enforce the terms and conditions lost their cases quite convincingly.

    Morally (and with any luck legally) you shouldn't be obliged to go to the hassle of returning something because it contained a EULA or similar that you didn't know about (or weren't told about) that you disagree with. The transaction of cash for product ended when you handed your money over for the product and got the product in return. You shouldn't have to chase your money back because they chose to alter the deal afterwards. *does best Vader breath*

    Of course things may be very little different if you obtained something for free or were presented with the agreement before purchase. A new trick used in car parking is to say it is subject to the terms and conditions, and if you don't agree, you can leave without charge in the first half hour. These were the first car parking terms I ever actually bothered to read, as they may actually stand up in court. I am guessing the GPL is pretty solid too, being a distribution license that gives you rights above what you already have, should you choose to accept it.

  6. This doesn't sound like a victory. by mcc · · Score: 5, Insightful

    It sounds like here the entire issue was not the enforceability of the EULAs, but the idea that you could be presented with this contract and not be given the ability to return it to the store. This is not a victory; this just predicts a situation where persons objecting to terms in EULAs will be universally responded to with well why don't you just take it back to the store.

    A victory would be something saying that first sale rights apply to software, just like they do to books, and if you take a piece of software to the front counter of a store and purchase it you just bought a copy of that software, even if the software vendor includes a piece of paper saying that you didn't.

  7. Re:EULAs are bunk by pegr · · Score: 5, Insightful

    This is why you do not actually purchase teh software.

    Just a copy of it so First Sale doctrine does not apply.


    Here we go again...

    Ask Best Buy if it's a sale. (It is.) Ask Fry's if it's a sale. (It is.) Ask a Federal judge if it's a sale. (It is.) If it looks like a sale, it's a sale. You think Best Buy would refuse to sell software to my kid, who, being under eighteen cannot enter into a license agreement?

    Legally, there are certain requirements for a contract, which is what a EULA is. Trouble is, EULAs don't meet the criteria. (Must be able to negotiate, must be of legal age, must show proof of acceptance of terms, must actually know who you are entering into an agreement with, etc.) EULA's are totally fiction. How many court cases have there been to seek damages from someone who didn't uphold the EULA? How about zero? Why? Because the publishers know they would lose and that would deflate the perception that these things are meaningful in any way.

    Kind of weird, huh?

  8. Why license agreements aren't always valid. by laughingcoyote · · Score: 5, Interesting

    (written on the back of a check prior to entering CompUSA)

    "By cashing or depositing this check, CompUSA agrees to give me anything I want in the future for free, or, if they refuse to fulfill that requirement, to pay me five million dollars."

    "If CompUSA does not agree to this requirement, they should send the check back to the address printed on it without cashing or depositing it. If they do so, they will not be bound by this agreement."

    Raise your hand if you seriously think such a thing would stand up in court.

    --
    To fight the war on terror, stop being afraid.
  9. Online only useful IF you've got Internet Access.. by Svartalf · · Score: 5, Insightful

    Not everyone's online. Furthermore, that is skirting the legal requirements to begin with- how do you know you're reading the agreement that the software's supposed to have, how can you be sure that others didn't get a better deal than you?

    Therefore, in order to fufill the requirements of the settlement, they're going to have to prominently place it in a manner that can be read with the ability to return it to a retailer- period. If that means putting it on there so it'll fit on the outside packaging, so be it.

    --
    I am not merely a "consumer" or a "taxpayer". I am a Citizen of the State of Texas