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Matthew Green and Matthew Selmasska Discuss “Browsewrap” Agreements in The Legal Intelligencer

January 16, 2025

In an article published in The Legal Intelligencer on January 14, 2025, Obermayer attorneys Matthew Green and Matthew Selmasska discuss the enforceability of the“browsewrap” arbitration agreements. The article, titled “Pa. Supreme Court to Decide Enforceability of ‘Browsewrap’ Arbitration Agreements,” analyzes the case of Chilutti v. Uber Technologies, resulting from an auto accident involving Shannon Chilutti, who is wheelchair-bound.

With browsewrap agreements, the actual text of an arbitration clause is not initially displayed and requires the user to take further action by clicking a link to view the actual terms. Given the format of these agreements, according to Uber, a user’s continued use of the website manifests the user’s consent to all terms and conditions even if the user hasn’t actually viewed the terms.

Chilutti registered for an Uber account online, agreeing to the company’s terms and conditions by clicking a “create account” button. The terms, accessible via hyperlink, included a binding arbitration agreement and jury trial waiver, if selected, would have generated a 12-page document. Chilutti admitted she did not view the terms when creating her account.

Subsequently, Chilutti alleged she was injured when an Uber driver failed to secure her with a seatbelt, causing her to fall from her wheelchair during a sharp turn. She filed a personal injury lawsuit in Philadelphia. Uber moved to compel arbitration based on their terms, and the trial court granted the motion. Chilutti appealed. A three-judge panel of the Superior Court reversed, and Uber filed an application for reargument en banc. The full Superior Court also reversed the trial court’s order compelling arbitration.

The Chilutti case is now before the Pennsylvania Supreme Court, where briefing is expected to be completed in early 2025.

Read the full article here