Small Businesses Ask Court to Provide Clear Requirements for Online Agreements
Small Businesses Ask Court to Provide Clear Requirements for Online Agreements
April 25, 2025
Chabolla v. ClassPass concerns the enforceability of website terms and conditions agreements
WASHINGTON, D.C. (April 25, 2025) – NFIB filed an amicus brief in the case Katherine Chabolla v. ClassPass Inc. at the U.S. Court of Appeals for the Ninth Circuit. The case concerns online agreements and what visual requirements must be met for an online user’s assent to website terms and conditions to be considered an enforceable contract. NFIB’s brief urges the full Ninth Circuit to rehear the case because the panel decision conflicts with precedent and destroys what predictability small businesses used to have about how they needed to organize their websites.
“Small businesses now rely on their online presence to attract and serve customers in an increasingly competitive marketplace. If upheld, the panel decision will force millions of small businesses to revise their online agreements and websites,” said Beth Milito, Vice President and Executive Director of NFIB’s Small Business Legal Center. “NFIB urges the Court to grant a rehearing in this case in order to provide clarity and predictability for small businesses who use such online agreements.”
NFIB’s brief argues two main points: 1) By changing what qualifies as a reasonably conspicuous notice of terms in this case, the panel decision directly conflicts with recent Ninth Circuit rulings; and 2) Small businesses need certainty and predictability from the Ninth Circuit on how to display their online agreements.
The NFIB Small Business Legal Center protects the rights of small business owners in the nation’s courts. NFIB is currently active in more than 40 cases in federal and state courts across the country and in the U.S. Supreme Court.
NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.
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