Uber Arbitration Agreement Tossed
The Massachusetts Supreme Court has ruled that Uber's customer terms and conditions requiring them to arbitrate claims against Uber are unenforceable. No enforceable contract requiring arbitration had been formed. Massachusetts joins several other states ruling the Uber arbitration agreement is unenforceable .
Why This Is Important... The Massachusetts decision joins others on this issue. This particular arbitration agreement is unenforceable because Uber could not prove there was reasonable notice of the arbitration agreement and manifested consent to it. The reason it could not do so is that both the notice and consent were obscured in the registration process .
Uber also reserved onto itself the right to change the terms and conditions without notice to users who had previously agreed. Even if a user found out about a change, they had no ability to object or opt out.
As we have previously noted, most of these cases are fought on the issue of being able to show there was reasonable notice and consent to an arbitration agreement.