Thursday, 7 August 2008

What is a CLICK-WRAP contract?

Click-wrap contracts are functionally the same as the shrink-wrap method in software licenses and other product offering, bar being in the digital world. A click-wrap contract allows the purchaser to read the terms of the agreement before accepting the product.

"Click-wrap" followed from the use of "shrink wrap contracts" in physical software and media purchases (such as CDs and DVDs). The inclusion of a notice that states “by opening the packaging you have agreed to the terms” results in the purchaser being legally bound to the terms of the license or contract.

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