2/14/2006Class 161 Class 16, Tuesday, Feb. 14 Announcements Thursday Friday Today’s agenda Problem 3-4 Problem Set 3 Hill v. Gateway 2000 Klocek v. Gateway

2/14/2006Class 162 Today is a good day to reflect on the relationship between love and contract law.

2/14/2006Class 163 What do these cases have to say about contract formation?

2/14/2006Class 164 one judge’s take Before deciding the merits of this case the Court must address a troubling issue. The computer industry and other courts have adopted the term "pizza box" to describe the package in which the document containing the terms and conditions of the agreement is shipped. As a matter of law in the State of New York, such a container is not a "pizza box". No self-respecting New York pizza would be caught soggy in such a box. The container may pass as a " pizza box" in those parts of the world that think food from Domino's, Little Caesar's, Pizza Hut, and Poppa John's is pizza. In this Court's opinion such a classification cannot be recognized east of the Hudson River. Licitra v. Gateway, Inc., 734 N.Y.S.2d 389, 391 (Civ. Ct. N.Y. 2001).

2/14/2006Class 165 Hill v. Gateway 2000, Inc. United States Court of Appeals 105 F.3d 1147 (7th Cir. 1997)

2/14/2006Class 166 Who is suing whom? For what kind of damages? What is the legal basis for the claim? What is the factual basis for the claim? Arguments/defenses?

2/14/2006Class 167 What happened at the trial court level? What happened on appeal? Issue? Authorities/Rule? Application to facts in case? What policies does it further/ignore?

2/14/2006Class 168 Hills—arbitration clause wasn’t prominent; they didn’t notice it Easterbrook—so what?

2/14/2006Class 169 Terms inside Gateway’s box stand or fall together. If they constitute the parties’ contract because the Hills had an opportunity to return the computer after reading them, then all must be enforced.

2/14/2006Class 1610 Every box containing its consumer product declares that the software comes with restrictions stated in an enclosed license.

2/14/2006Class 1611 Klocek v. Gateway, Inc. United States District Court 104 F. Supp. 2d 1332 (D. Kan. 2000)

2/14/2006Class 1612 Who is suing whom? For what kind of damages? What is the legal basis for the claim? What is the factual basis for the claim? Arguments/defenses?

2/14/2006Class 1613 What happened at the trial court level? What happened on appeal? Issue? Authorities/Rule? Application to facts in case? What policies does it further/ignore?

2/14/2006Class 1614 End of class Thursday Friday326-46