Summary
This Fourth Circuit opinion determines whether users of an online streaming service manifested assent to an arbitration clause by registering for a subscription. The court concluded that the website's interface provided reasonable notice that registering would constitute agreement to the Terms of Use, which included the arbitration provision. Accordingly, the court reversed the district court's denial of the motion to compel arbitration and remanded the case for further proceedings.
Topics
Practice areas
Questions Presented
- Whether the users assented to the arbitration clause by registering for the service
- Whether the district court erred in denying CuriosityStream's motion to compel arbitration
Holdings
- The users agreed to arbitrate when they registered for the streaming service because they had reasonable notice that registering would constitute assent to the website’s Terms of Use, which included an arbitration clause.
Key quotations
“We conclude the users agreed to arbitrate when they registered for the streaming service because they had reasonable notice that registering would constitute assent to the website’s terms of use, which included an arbitration clause.” (JA 22)
“A user’s click of a button can be construed as an unambiguous manifestation of assent only if the user is explicitly advised that the act of clicking will constitute assent to the terms and conditions of an agreement.” (JA 54)
Factual background
Rohan Dhruva and Joshua Stern, California residents, created CuriosityStream.com accounts, paid subscription fees, and later alleged that CuriosityStream violated the Video Privacy Protection Act and California law by sharing their data with Meta. CuriosityStream moved to compel arbitration based on its Terms of Use, which were presented via a conspicuous orange hyperlink during the sign‑up process.
Procedural history
The district court denied CuriosityStream's motion to compel arbitration and also denied a motion for reconsideration. The Fourth Circuit reviewed the denial de novo and reversed, remanding for further proceedings.
Remand instructions
Remand for further proceedings consistent with this opinion.