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Volumn 75, Issue 4, 2000, Pages

Humans, Computers, and Binding Commitment

(1)  Radin, Margaret Jane a  

a NONE

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EID: 0346444521     PISSN: 00196665     EISSN: None     Source Type: Journal    
DOI: None     Document Type: Article
Times cited : (68)

References (112)
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    • 0038225453 scopus 로고
    • Contract as Thing
    • See, e.g., Arthur Allen Leff, Contract as Thing, 19 AM. U. L. REV. 131 (1970).
    • (1970) Am. U. L. Rev. , vol.19 , pp. 131
    • Leff, A.A.1
  • 2
    • 0347106034 scopus 로고    scopus 로고
    • LUDWIG WITTGENSTEIN, PHILOSOPHICAL INVESTIGATIONS § 115 (G.E.M. Anscombe trans., 1953)
    • LUDWIG WITTGENSTEIN, PHILOSOPHICAL INVESTIGATIONS § 115 (G.E.M. Anscombe trans., 1953).
  • 3
    • 0345844982 scopus 로고    scopus 로고
    • See, e.g., infra Part IV (discussing the Uniform Electronic Transactions Act ("UETA"))
    • See, e.g., infra Part IV (discussing the Uniform Electronic Transactions Act ("UETA")).
  • 4
    • 0347736492 scopus 로고    scopus 로고
    • The history of the liberal concept of consent, with its varying interpretations and manifestations, is laid out in fascinating detail in DON HERZOG, HAPPY SLAVES (1989)
    • The history of the liberal concept of consent, with its varying interpretations and manifestations, is laid out in fascinating detail in DON HERZOG, HAPPY SLAVES (1989).
  • 5
    • 0001609162 scopus 로고
    • Property Rules, Liability Rules, and Inalienability: One View of the Cathedral
    • The property-rule vs. liability-rule terminology comes from Guido Calabresi & A. Douglas Melamed, Property Rules, Liability Rules, and Inalienability: One View of the Cathedral, 85 HARV. L. REV. 1089 (1972). It is handy terminology in a setting where economic exchange is the issue, though it has its drawbacks otherwise. See, e.g., MARGARET JANE RADIN, CONTESTED COMMODITIES ch. 2 (1996); infra Part VI.
    • (1972) Harv. L. Rev. , vol.85 , pp. 1089
    • Calabresi, G.1    Douglas Melamed, A.2
  • 6
    • 0004229270 scopus 로고    scopus 로고
    • ch. 2 infra Part VI
    • The property-rule vs. liability-rule terminology comes from Guido Calabresi & A. Douglas Melamed, Property Rules, Liability Rules, and Inalienability: One View of the Cathedral, 85 HARV. L. REV. 1089 (1972). It is handy terminology in a setting where economic exchange is the issue, though it has its drawbacks otherwise. See, e.g., MARGARET JANE RADIN, CONTESTED COMMODITIES ch. 2 (1996); infra Part VI.
    • (1996) Contested Commodities
    • Radin, M.J.1
  • 7
    • 0347106033 scopus 로고    scopus 로고
    • Disney Homepage (visited Feb. 12, 2000)
    • Disney Homepage (visited Feb. 12, 2000) 〈http://www.disney.go.com〉.
  • 8
    • 0347736497 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 9
    • 0346475818 scopus 로고    scopus 로고
    • Disney Legal Conditions (visited Feb. 12, 2000)
    • Disney Legal Conditions (visited Feb. 12, 2000) 〈http://disney.go.com/legal/conditions_of_use.html?clk=8884〉.
  • 10
    • 0347736467 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 11
    • 0346475785 scopus 로고    scopus 로고
    • Beyond.com Terms of Use (visited Feb. 12, 2000)
    • See Beyond.com Terms of Use (visited Feb. 12, 2000) 〈http://www.beyond.com /termsofuse.htm〉.
  • 12
    • 0345844953 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 13
    • 0346475782 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 14
    • 0347106029 scopus 로고    scopus 로고
    • See eBay.com (visited Jan. 20, 2000)
    • See eBay.com (visited Jan. 20, 2000) 〈http://www.ebay.com〉.
  • 15
    • 21444454498 scopus 로고    scopus 로고
    • Computers as Agents: A Proposed Approach to Revised U.C.C. Article 2
    • Note
    • See John P. Fischer, Note, Computers as Agents: A Proposed Approach to Revised U.C.C. Article 2, 72 IND. L.J. 545 (1997).
    • (1997) Ind. L.J. , vol.72 , pp. 545
    • Fischer, J.P.1
  • 16
    • 0009214419 scopus 로고    scopus 로고
    • Letting Loose the Light: Igniting Commerce in Electronic Publication
    • Mark Stefik ed.
    • See, e.g., Mark Stefik, Letting Loose the Light: Igniting Commerce in Electronic Publication, in INTERNET DREAMS 219, 226-28 (Mark Stefik ed., 1996); see also Julie E. Cohen, Lochner in Cyberspace: The New Economic Orthodoxy of "Rights Management", 97 MICH. L. REV. 462, 471 (1998).
    • (1996) Internet Dreams , vol.219 , pp. 226-228
    • Stefik, M.1
  • 17
    • 0039274116 scopus 로고    scopus 로고
    • Lochner in Cyberspace: The New Economic Orthodoxy of "Rights Management"
    • See, e.g., Mark Stefik, Letting Loose the Light: Igniting Commerce in Electronic Publication, in INTERNET DREAMS 219, 226-28 (Mark Stefik ed., 1996); see also Julie E. Cohen, Lochner in Cyberspace: The New Economic Orthodoxy of "Rights Management", 97 MICH. L. REV. 462, 471 (1998).
    • (1998) Mich. L. Rev. , vol.97 , pp. 462
    • Cohen, J.E.1
  • 18
    • 0347106006 scopus 로고    scopus 로고
    • The Myth of Private Ordering: Rediscovering Legal Realism in Cyberspace
    • Of the many who believe that technology, not law, will structure cyberspace, some think that technological self-enforcement will succeed in locking up property rights even more securely than fences in real space (a result that some deplore and some applaud); and some think that hackers will always stay one step ahead of technological locks, undermining property rights in information (a result that some deplore and some applaud). A particular configuration of contradictory beliefs is held by those I call "anarcho-cyberlibertarians," who are committed to anarchic nonlegal self-organization and at the same time to strong property rights, which must stem from a legal regime
    • Of the many who believe that technology, not law, will structure cyberspace, some think that technological self-enforcement will succeed in locking up property rights even more securely than fences in real space (a result that some deplore and some applaud); and some think that hackers will always stay one step ahead of technological locks, undermining property rights in information (a result that some deplore and some applaud). A particular configuration of contradictory beliefs is held by those I call "anarcho-cyberlibertarians," who are committed to anarchic nonlegal self-organization and at the same time to strong property rights, which must stem from a legal regime. See Margaret Jane Radin & R. Polk Wagner, The Myth of Private Ordering: Rediscovering Legal Realism in Cyberspace, 73 CHI.-KENT L. REV. 1295, 1297 (1998).
    • (1998) Chi.-kent L. Rev. , vol.73 , pp. 1295
    • Radin, M.J.1    Polk Wagner, R.2
  • 19
    • 0345844977 scopus 로고    scopus 로고
    • Note www.mobshop.com, whose business model involves viral marketing. The site offers an item for sale whose price goes down as you get more people to buy it (and they in turn get more people to buy it) within a set time frame.
  • 20
    • 0346475822 scopus 로고    scopus 로고
    • See, e.g., Associate Web (visited June 8, 2000)
    • See, e.g., Associate Web (visited June 8, 2000) 〈www.associateweb.com〉.
  • 21
    • 0347106026 scopus 로고    scopus 로고
    • visited Feb. 12
    • See The Open Source Page (visited Feb. 12, 2000) 〈http://www.opensource.org〉; see also OPEN SOURCES: VOICES FROM THE OPEN SOURCE REVOLUTION (Chris Dibona et al. eds., 1999); ERIC S. RAYMOND, THE CATHEDRAL AND THE BAZAAR: MUSINGS ON LINUX AND OPEN SOURCE BY AN ACCIDENTAL REVOLUTIONARY (1999); Eben Moglen, Anarchism Triumphant (last modified Dec. 2, 1999) 〈http://emoglen.law.columbia.edu/my_pubs/anarchism.html〉.
    • (2000) The Open Source Page
  • 22
    • 0003692681 scopus 로고    scopus 로고
    • See The Open Source Page (visited Feb. 12, 2000) 〈http://www.opensource.org〉; see also OPEN SOURCES: VOICES FROM THE OPEN SOURCE REVOLUTION (Chris Dibona et al. eds., 1999); ERIC S. RAYMOND, THE CATHEDRAL AND THE BAZAAR: MUSINGS ON LINUX AND OPEN SOURCE BY AN ACCIDENTAL REVOLUTIONARY (1999); Eben Moglen, Anarchism Triumphant (last modified Dec. 2, 1999) 〈http://emoglen.law.columbia.edu/my_pubs/anarchism.html〉.
    • (1999) Open Sources: Voices from the Open Source Revolution
    • Dibona, C.1
  • 23
    • 0003975626 scopus 로고    scopus 로고
    • See The Open Source Page (visited Feb. 12, 2000) 〈http://www.opensource.org〉; see also OPEN SOURCES: VOICES FROM THE OPEN SOURCE REVOLUTION (Chris Dibona et al. eds., 1999); ERIC S. RAYMOND, THE CATHEDRAL AND THE BAZAAR: MUSINGS ON LINUX AND OPEN SOURCE BY AN ACCIDENTAL REVOLUTIONARY (1999); Eben Moglen, Anarchism Triumphant (last modified Dec. 2, 1999) 〈http://emoglen.law.columbia.edu/my_pubs/anarchism.html〉.
    • (1999) The Cathedral and the Bazaar: Musings on Linux and Open Source by an Accidental Revolutionary
    • Raymond, E.S.1
  • 24
    • 33645881478 scopus 로고    scopus 로고
    • last modified Dec. 2
    • See The Open Source Page (visited Feb. 12, 2000) 〈http://www.opensource.org〉; see also OPEN SOURCES: VOICES FROM THE OPEN SOURCE REVOLUTION (Chris Dibona et al. eds., 1999); ERIC S. RAYMOND, THE CATHEDRAL AND THE BAZAAR: MUSINGS ON LINUX AND OPEN SOURCE BY AN ACCIDENTAL REVOLUTIONARY (1999); Eben Moglen, Anarchism Triumphant (last modified Dec. 2, 1999) 〈http://emoglen.law.columbia.edu/my_pubs/anarchism.html〉.
    • (1999) Anarchism Triumphant
    • Moglen, E.1
  • 25
    • 21844492135 scopus 로고    scopus 로고
    • Intellectual Property and Shrinkwrap Licenses
    • See, e.g., Mark A. Lemley, Intellectual Property and Shrinkwrap Licenses, 68 S. CAL. L. REV. 1239 (1996).
    • (1996) S. Cal. L. Rev. , vol.68 , pp. 1239
    • Lemley, M.A.1
  • 26
    • 0345844952 scopus 로고    scopus 로고
    • ProCD, Inc. v. Zeidenberg, 86 F.3d 1447 (7th Cir. 1996)
    • ProCD, Inc. v. Zeidenberg, 86 F.3d 1447 (7th Cir. 1996).
  • 27
    • 0347736472 scopus 로고    scopus 로고
    • See Feist Publications, Inc. v. Rural Tel. Serv., 499 U.S. 340 (1991)
    • See Feist Publications, Inc. v. Rural Tel. Serv., 499 U.S. 340 (1991).
  • 28
    • 0347736473 scopus 로고    scopus 로고
    • See ProCD, 86 F.3d at 1450
    • See ProCD, 86 F.3d at 1450.
  • 29
    • 0345844975 scopus 로고    scopus 로고
    • See, e.g., Step-Saver Data Sys., Inc. v. Wyse Technology, 939 F.2d 91 (3d Cir. 1991)
    • See, e.g., Step-Saver Data Sys., Inc. v. Wyse Technology, 939 F.2d 91 (3d Cir. 1991).
  • 30
    • 0346475795 scopus 로고    scopus 로고
    • See, e.g., Stanford Home Page (visited Feb. 2, 2000) 〈http://www.stanford.edu〉
    • See, e.g., Stanford Home Page (visited Feb. 2, 2000) 〈http://www.stanford.edu〉.
  • 31
    • 0346475796 scopus 로고    scopus 로고
    • See ProCD, 86 F.3d at 1456
    • See ProCD, 86 F.3d at 1456.
  • 32
    • 0347106030 scopus 로고    scopus 로고
    • note
    • The Windows license told users that if they did not like the terms when they saw them, they should return the software for a refund. A group of Linux users divested their computers of Windows and attempted to obtain a refund. Neither the store that sold them the software nor Microsoft thought it was the appropriate party to fulfill the terms. Finally, the Linux users had a demonstration outside Microsoft's office in the Bay Area. Reports said it was a civilized demonstration in which Microsoft employees came out and served them coffee and doughnuts. See, e.g., Wired News, Linux Users Shut Their Windows (visited Feb. 9, 2000) 〈http: //www.wired.com/news/technology/0,1282,17926.00.html〉.
  • 33
    • 0043169137 scopus 로고
    • 4th ed.
    • The legislation attempting to deal with this situation, U.C.C. § 2-207 (1992), has been roundly criticized. It is said to be too complex, ambiguous, and readily misunderstood; it does not deal adequately with all the types of cases that arise, and in some scenarios irrationally gives one party all of the terms in its form depending on the order in which the forms were sent. See, e.g., JAMES J. WHITE & ROBERT S. SUMMERS, UNIFORM COMMERCIAL CODE § 1-3 (4th ed. 1995) (devoting over 19 pages in hornbook analyzing problems with section 2-207, in which authors disagree with each other, but conclude they "see no way to apply 2-207 that does not sometimes give an unearned and unfair advantage to the person who happens to send the first, or in some cases the second, document").
    • (1995) Uniform Commercial Code § , pp. 1-3
    • White, J.J.1    Summers, R.S.2
  • 34
    • 0347106001 scopus 로고    scopus 로고
    • The Privileges of Suretyship for Delegating Parties under UCC Section 2-210 in Light of the New Restatement of Suretyship
    • See, e.g., Gary L. Monserud, The Privileges of Suretyship for Delegating Parties Under UCC Section 2-210 in Light of the New Restatement of Suretyship, 37 WM. & MARY L. REV. 1307, 1393 (1996) ("In consumer purchases, making a sale subject to a buyer's assumption of a seller's outstanding liabilities to an upstream seller is virtually unheard of.").
    • (1996) Wm. & Mary L. Rev. , vol.37 , pp. 1307
    • Monserud, G.L.1
  • 35
    • 0346475821 scopus 로고    scopus 로고
    • note
    • Warranties are an exception. They usually not only inure to the benefit of holders remote in the distribution chain, but also impose the duty to perform under the warranty on successors of the original distributor. There was debate about imposing liability without contractual privity about the same time there was debate about imposition of tort liability without privity, and both privity requirements fell at the same time. Running obligations, with a notice requirement, are seen in the creation of security interests under Article 9 of the UCC. There the rights of secured creditors that run with the collateral are a very limited set of rights defined by a statutory scheme, not rights that can be created just by a private contract between the creditor and the original debtor. (I owe this example to Dick Craswell.)
  • 36
    • 0004717498 scopus 로고
    • Residential Private Governments: An Introductory Survey
    • Uriel Reichman, Residential Private Governments: An Introductory Survey, 43 U. CHI. L. REV. 253 (1976).
    • (1976) U. Chi. L. Rev. , vol.43 , pp. 253
    • Reichman, U.1
  • 37
    • 0347736483 scopus 로고    scopus 로고
    • note
    • See Uniform Electronic Transactions Act (visited June 9, 2000) 〈http://www. law.upenn.edu/bll/ulc/uecicta/etal299.htm〉 [hereinafter UETA Draft]; Uniform Computer Information Transactions Act (visited June 9, 2000) 〈;http://www.law.upenn.edu/bll/ulc/ ucita/ucita200.htm〉 [hereinafter UCITA Draft]. As this Article goes to press, the UETA has been enacted by California and Pennsylvania. The UCITA has been enacted in Virginia and is pending in Hawaii, Illinois, Maryland, Nebraska, Ohio, Oklahoma, and Utah. The Virginia enactment, which does not go into effect until July 1, 2001, establishes a special advisory group to evaluate impacts and possibly propose amendments. See Act of Mar. 14, 2000, ch. 101, 2000 Va. Laws 157.
  • 38
    • 84891457622 scopus 로고    scopus 로고
    • Symposium, Intellectual Property and Contract Law in the Information Age: The Impact of Article 2B of the Uniform Commercial Code on the Future of Transactions in Information and Electronic Commerce
    • See Symposium, Intellectual Property and Contract Law in the Information Age: The Impact of Article 2B of the Uniform Commercial Code on the Future of Transactions in Information and Electronic Commerce, 13 BERKELEY TECH. L.J. 809 (1998). For an overview, see Pamela Samuelson, Foreword, 13 BERKELEY TECH. L.J. 809 (1998). For specific criticisms aimed primarily at UCITA's preemption of state consumer protection regimes, see Letter from 22 State Attorneys General to National Conference of Commissioners of Uniform State Laws (July 23, 1999), available in 〈http://www.arl.org/info/frn/copy/agoppltr.html〉 (opposing UCITA).
    • (1998) Berkeley Tech. L.J. , vol.13 , pp. 809
  • 39
    • 0345844956 scopus 로고    scopus 로고
    • Foreword
    • For specific criticisms aimed primarily at UCITA's preemption of state consumer protection regimes, see Letter from 22 State Attorneys General to National Conference of Commissioners of Uniform State Laws (July 23, 1999), (opposing UCITA)
    • See Symposium, Intellectual Property and Contract Law in the Information Age: The Impact of Article 2B of the Uniform Commercial Code on the Future of Transactions in Information and Electronic Commerce, 13 BERKELEY TECH. L.J. 809 (1998). For an overview, see Pamela Samuelson, Foreword, 13 BERKELEY TECH. L.J. 809 (1998). For specific criticisms aimed primarily at UCITA's preemption of state consumer protection regimes, see Letter from 22 State Attorneys General to National Conference of Commissioners of Uniform State Laws (July 23, 1999), available in 〈http://www.arl.org/info/frn/copy/agoppltr.html〉 (opposing UCITA).
    • (1998) Berkeley Tech. L.J. , vol.13 , pp. 809
    • Samuelson, P.1
  • 40
    • 0347106014 scopus 로고    scopus 로고
    • UCITA Draft, supra note 32, § 103(a)
    • UCITA Draft, supra note 32, § 103(a).
  • 41
    • 0347736477 scopus 로고    scopus 로고
    • Id. § 102(a)(10)
    • Id. § 102(a)(10).
  • 42
    • 0347106013 scopus 로고    scopus 로고
    • Id. § 102(a)(11)
    • Id. § 102(a)(11).
  • 43
    • 0346475813 scopus 로고    scopus 로고
    • Id. § 102(a)(38)
    • Id. § 102(a)(38).
  • 44
    • 0346475812 scopus 로고    scopus 로고
    • Id. § 112
    • Id. § 112.
  • 45
    • 0346475817 scopus 로고    scopus 로고
    • See id. § 112(a)(2), (d) & cmts
    • See id. § 112(a)(2), (d) & cmts.
  • 47
    • 0347736489 scopus 로고    scopus 로고
    • note
    • See UCITA Draft, supra note 32, § 112 cmt. 4 ("The described product defines the bargain."). Assent occurs if "objective indicia" allow the inference that a party had reason to know that his act or failure to act "will be viewed by the other party as indicating assent." UCITA Draft Official Comments § 112 cmt. 3(b) (visited June 9, 2000) available in «http:// www.law.upenn.edu/bll/ulc/ucita/ucitacom300.htm〉 [hereinafter UCITA Draft Official Comments]. (This puts the burden on the recipient to figure out the other party's propensity to infer things.) Factors showing that "a person has 'reason to know' that the conduct will lead the other party to believe that there was assent" include: "language on a display, package, or that is otherwise made available to the party." Id. This seems to say that putting on my site something like "continuing to use this site means that you've agreed to my terms" might work as "manifesting assent" to my terms, especially since another factor in the list is "the fact that the party can decline and return the information, but decides to use it." Id. So, it looks like whenever I have access to a site and look at it, I've manifested assent to its terms.
  • 48
    • 0347045639 scopus 로고    scopus 로고
    • Searching for Security in the Law of Electronic Commerce
    • (comparing the approaches of UCITA and UETA)
    • See UETA Draft, supra note 32, § 5(b). The drafters carefully state that UETA "does not make specific reference to usage of trade and other party conduct," and the Act "is not intended to affect the construction of the parties' agreement under the substantive law applicable to a particular transaction. Where that law takes account of usage and conduct in informing the terms of the parties' agreement, the usage or conduct would be relevant as 'other circumstances' included in the definition under this Act." Id. § 2 cmt. 1. See generally Amelia H. Boss, Searching for Security in the Law of Electronic Commerce, 23 NOVA L. REV. 585 (1999) (comparing the approaches of UCITA and UETA).
    • (1999) Nova L. Rev. , vol.23 , pp. 585
    • Boss, A.H.1
  • 49
    • 0347736484 scopus 로고    scopus 로고
    • UETA Draft, supra note 32, § 5(b)
    • UETA Draft, supra note 32, § 5(b).
  • 50
    • 0347736482 scopus 로고    scopus 로고
    • Thus, UETA's core provision is the following: "A contract may not be denied legal effect or enforceability solely because an electronic record was used in its formation." Id. § 7(b)
    • Thus, UETA's core provision is the following: "A contract may not be denied legal effect or enforceability solely because an electronic record was used in its formation." Id. § 7(b).
  • 51
    • 0141487043 scopus 로고    scopus 로고
    • Can Computers Make Contracts?
    • Id. § 2 cmt. 5. That comment states: While this Act proceeds on the paradigm that an electronic agent is capable of performing only within the technical strictures of its preset programming, it is conceivable that, within the useful life of this Act, electronic agents may be created with the ability to act autonomously, and not just automatically. That is, through developments in artificial intelligence, a computer may be able to "learn through experience, modify the instructions in their own programs, and even devise new instructions."
    • Id. § 2 cmt. 5. That comment states: While this Act proceeds on the paradigm that an electronic agent is capable of performing only within the technical strictures of its preset programming, it is conceivable that, within the useful life of this Act, electronic agents may be created with the ability to act autonomously, and not just automatically. That is, through developments in artificial intelligence, a computer may be able to "learn through experience, modify the instructions in their own programs, and even devise new instructions." Id. (quoting Tom Allen & Robin Widdison, Can Computers Make Contracts?, 9 HARV. J.L. & TECH 25 (1996)). If such developments occur, courts may construe the definition of electronic agent accordingly, in order to recognize such new capabilities.
    • (1996) Harv. J.L. & Tech , vol.9 , pp. 25
    • Allen, T.1    Widdison, R.2
  • 52
    • 0345844976 scopus 로고    scopus 로고
    • Id. § 5(b)
    • Id. § 5(b).
  • 53
    • 0345844964 scopus 로고    scopus 로고
    • note
    • "A party that agrees to conduct a transaction by electronic means may refuse to conduct other transactions by electronic means. The right granted by this subsection may not be waived by agreement." Id. § 5(c).
  • 54
    • 0347106012 scopus 로고    scopus 로고
    • Id. § 5 cmt. 2
    • Id. § 5 cmt. 2.
  • 55
    • 0347736485 scopus 로고    scopus 로고
    • Id. § 5 cmt. 3
    • Id. § 5 cmt. 3.
  • 56
    • 0346475800 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 57
    • 0346475801 scopus 로고    scopus 로고
    • Id. § 5 cmt. 4
    • Id. § 5 cmt. 4.
  • 58
    • 0347736476 scopus 로고    scopus 로고
    • UCITA Draft, supra note 32, § 107(d)
    • UCITA Draft, supra note 32, § 107(d).
  • 59
    • 0346475806 scopus 로고    scopus 로고
    • Id. § 112(b)
    • Id. § 112(b).
  • 60
    • 0345844967 scopus 로고    scopus 로고
    • Id. § 112(d)
    • Id. § 112(d).
  • 61
    • 0347106018 scopus 로고    scopus 로고
    • Id. § 112(a) (emphasis added)
    • Id. § 112(a) (emphasis added).
  • 62
    • 0347736488 scopus 로고    scopus 로고
    • note
    • "Intentionally" with respect to what? "Intending" that the key go down? "Intending" that the key have some effect on the operations of my computer? "Intending" that they key check a box that appears on my screen?
  • 63
    • 0347736481 scopus 로고    scopus 로고
    • UCITA Draft Official Comments, supra note 41, § 206 cmt. 2
    • UCITA Draft Official Comments, supra note 41, § 206 cmt. 2.
  • 64
    • 0347106019 scopus 로고    scopus 로고
    • 17 U.S.C.A. § 1201 (West Supp. 1999)
    • 17 U.S.C.A. § 1201 (West Supp. 1999).
  • 65
    • 0347106025 scopus 로고    scopus 로고
    • See id.
    • See id.
  • 66
    • 0347105997 scopus 로고    scopus 로고
    • Intellectual Property and Contract Law for the Information Age: The Impact of Article 2B of the Uniform Commercial Code on the Future of Information and Commerce
    • See, e.g., Cohen, supra note 15, at 473
    • See, e.g., Cohen, supra note 15, at 473; Pamela Samuelson, Intellectual Property and Contract Law for the Information Age: The Impact of Article 2B of the Uniform Commercial Code on the Future of Information and Commerce, 87 CAL. L. REV. 1, 4 (1999).
    • (1999) Cal. L. Rev. , vol.87 , pp. 1
    • Samuelson, P.1
  • 67
    • 0346475802 scopus 로고    scopus 로고
    • UCITA Draft, supra note 32, § 605(b)
    • UCITA Draft, supra note 32, § 605(b).
  • 68
    • 0347106023 scopus 로고    scopus 로고
    • Id.
    • Id.
  • 69
    • 0345844969 scopus 로고    scopus 로고
    • Id. § 605(d)
    • Id. § 605(d).
  • 70
    • 0347106022 scopus 로고    scopus 로고
    • note
    • The interaction between this subsection and section 816, entitled "Limitations on Electronic Self-Help," is unclear. Perhaps they are intended as alternatives, although that is not said. Section 816 seems to be a complex elaboration of procedures to follow in the event that licensor wants to turn off the system after declaring a breach. It requires separate manifestation of assent to a term authorizing electronic self-help, and sets out a complex notice procedure to be followed before using self-help. See id. § 816.
  • 71
    • 0347106011 scopus 로고    scopus 로고
    • See id. § 605(c)
    • See id. § 605(c).
  • 72
    • 0347736480 scopus 로고    scopus 로고
    • Id. § 503
    • Id. § 503.
  • 73
    • 0346475794 scopus 로고    scopus 로고
    • Id. § 504
    • Id. § 504.
  • 74
    • 18044386439 scopus 로고
    • Contracts of Adhesion: An Essay in Reconstruction
    • See, e.g., Todd D. Rakoff, Contracts of Adhesion: An Essay in Reconstruction, 96 HARV. L. REV. 1173 (1983).
    • (1983) Harv. L. Rev. , vol.96 , pp. 1173
    • Rakoff, T.D.1
  • 75
    • 0000376952 scopus 로고
    • Distributive and Paternalist Motives in Contract and Tort Law, with Special Reference to Compulsory Terms and Unequal Bargaining Power
    • See, e.g., Duncan Kennedy, Distributive and Paternalist Motives in Contract and Tort Law, with Special Reference to Compulsory Terms and Unequal Bargaining Power, 41 MD. L. REV. 563 (1982).
    • (1982) Md. L. Rev. , vol.41 , pp. 563
    • Kennedy, D.1
  • 76
    • 0346475793 scopus 로고
    • Unconscionability in Standard Forms
    • See, e.g., Lewis A. Kornhauser, Unconscionability in Standard Forms, 64 CAL. L. REV. 1151 (1976).
    • (1976) Cal. L. Rev. , vol.64 , pp. 1151
    • Kornhauser, L.A.1
  • 77
    • 85005305538 scopus 로고
    • The Market for "Lemons": Quality Uncertainty and the Market Mechanism
    • George A. Akerlof, The Market for "Lemons": Quality Uncertainty and the Market Mechanism, 84 Q.J. ECON. 488, 490-91 (1970); see also Michael Spence, Consumer Misperceptions, Product Failure, and Producer Liability, 44 REV. ECON. STUD. 561 (1977).
    • (1970) Q.J. Econ. , vol.84 , pp. 488
    • Akerlof, G.A.1
  • 78
    • 84959825935 scopus 로고
    • Consumer Misperceptions, Product Failure, and Producer Liability
    • George A. Akerlof, The Market for "Lemons": Quality Uncertainty and the Market Mechanism, 84 Q.J. ECON. 488, 490-91 (1970); see also Michael Spence, Consumer Misperceptions, Product Failure, and Producer Liability, 44 REV. ECON. STUD. 561 (1977).
    • (1977) Rev. Econ. Stud. , vol.44 , pp. 561
    • Spence, M.1
  • 79
    • 0346475786 scopus 로고    scopus 로고
    • note
    • In the face of this difficulty, it often seems that for any given analyst the real criterion for whether something is rent-seeking is whether the analyst finds it ideologically distasteful.
  • 80
    • 0347722746 scopus 로고    scopus 로고
    • Protecting the Digital Consumer: The Limits of Cyberspace Utopianism
    • See, e.g., John Rothchild, Protecting the Digital Consumer: The Limits of Cyberspace Utopianism, 74 IND. L.J. 893 (1999).
    • (1999) Ind. L.J. , vol.74 , pp. 893
    • Rothchild, J.1
  • 81
    • 0346475787 scopus 로고    scopus 로고
    • How Big a B2B Boom
    • Feb. 1
    • See, e.g., Sharon Nash, How Big a B2B Boom, PC MAGAZINE, Feb. 1, 2000, available in 〈http://www.zdnet.com/pcmag/stories/trends/0,7607,2431179,00.htm〉.
    • (2000) PC Magazine
    • Nash, S.1
  • 82
    • 0009809073 scopus 로고    scopus 로고
    • Current Research: Electronic Commerce: Three Emerging Strategies
    • between 10 and 20%
    • Various cost savings estimated, but widely thought to be significant. See, e.g., Kenneth Berryman et al., Current Research: Electronic Commerce: Three Emerging Strategies, 1998 THE MCKINSEY Q. 152 (between 10 and 20%)
    • (1998) The Mckinsey Q. , pp. 152
    • Berryman, K.1
  • 83
    • 0038225456 scopus 로고    scopus 로고
    • Path Dependence in Corporate Contracting: Increasing Returns, Herd Behavior and Cognitive Biases
    • The attractiveness of a standard contract term arises at least in part from the fact that it can offer increasing returns to users as more firms adopt it. These increasing returns can be divided into two related, but conceptually distinct, types of benefits: (i) 'learning benefits,' which arise because a firm adopts a contract term that has been commonly used in the past; and (ii) 'network benefits,' which arise because a firm adopts a term that will be commonly used in the future. Id.
    • Cf. Marcel Kahan & Michael Klausner, Path Dependence in Corporate Contracting: Increasing Returns, Herd Behavior and Cognitive Biases, 74 WASH. U. L.Q. 347, 350 (1996). The attractiveness of a standard contract term arises at least in part from the fact that it can offer increasing returns to users as more firms adopt it. These increasing returns can be divided into two related, but conceptually distinct, types of benefits: (i) 'learning benefits,' which arise because a firm adopts a contract term that has been commonly used in the past; and (ii) 'network benefits,' which arise because a firm adopts a term that will be commonly used in the future. Id.
    • (1996) Wash. U. L.Q. , vol.74 , pp. 347
    • Kahan, M.1    Klausner, M.2
  • 84
    • 0348209844 scopus 로고
    • Unconscionability and the Code - The Emperor's New Clause
    • For example, with regard to the onerous cross-collateral clause in Williams v. Walker-Thomas Furniture Co., 350 F.2d 445 (D.C. Cir. 1965), or the implied warranty of habitability in residential tenancies, or housing codes, or rent control
    • For example, with regard to the onerous cross-collateral clause in Williams v. Walker-Thomas Furniture Co., 350 F.2d 445 (D.C. Cir. 1965), or the implied warranty of habitability in residential tenancies, or housing codes, or rent control. See, e.g., Arthur Allen Leff, Unconscionability and the Code - The Emperor's New Clause, 115 U. PENN. L. REV. 485 (1967); Bruce Ackerman, Regulating Slum Housing Markets On Behalf of the Poor: Of Housing Codes, Housing Subsidies and Income Redistribution Policy, 80 YALE L.J. 1093 (1971); Margaret Jane Radin, Residential Rent Control, 15 PHIL. & PUB. AFF. 350 (1986).
    • (1967) U. Penn. L. Rev. , vol.115 , pp. 485
    • Leff, A.A.1
  • 85
    • 0042202827 scopus 로고
    • Regulating Slum Housing Markets on Behalf of the Poor: Of Housing Codes, Housing Subsidies and Income Redistribution Policy
    • For example, with regard to the onerous cross-collateral clause in Williams v. Walker- Thomas Furniture Co., 350 F.2d 445 (D.C. Cir. 1965), or the implied warranty of habitability in residential tenancies, or housing codes, or rent control. See, e.g., Arthur Allen Leff, Unconscionability and the Code - The Emperor's New Clause, 115 U. PENN. L. REV. 485 (1967); Bruce Ackerman, Regulating Slum Housing Markets On Behalf of the Poor: Of Housing Codes, Housing Subsidies and Income Redistribution Policy, 80 YALE L.J. 1093 (1971); Margaret Jane Radin, Residential Rent Control, 15 PHIL. & PUB. AFF. 350 (1986).
    • (1971) Yale L.J. , vol.80 , pp. 1093
    • Ackerman, B.1
  • 86
    • 70449421101 scopus 로고
    • Residential Rent Control
    • For example, with regard to the onerous cross-collateral clause in Williams v. Walker- Thomas Furniture Co., 350 F.2d 445 (D.C. Cir. 1965), or the implied warranty of habitability in residential tenancies, or housing codes, or rent control. See, e.g., Arthur Allen Leff, Unconscionability and the Code - The Emperor's New Clause, 115 U. PENN. L. REV. 485 (1967); Bruce Ackerman, Regulating Slum Housing Markets On Behalf of the Poor: Of Housing Codes, Housing Subsidies and Income Redistribution Policy, 80 YALE L.J. 1093 (1971); Margaret Jane Radin, Residential Rent Control, 15 PHIL. & PUB. AFF. 350 (1986).
    • (1986) Phil. & Pub. Aff. , vol.15 , pp. 350
    • Radin, M.J.1
  • 87
    • 0345844961 scopus 로고    scopus 로고
    • note
    • In spite of incentives to standardize, of course, other incentives are still at work that have kept terms nonstandard in the past and might still keep them nonstandard. Some firms are better at giving extensive warranties and other firms are better at selling at low prices. If transaction costs caused by differing terms had been the strongest incentive operating in the offline world in most cases where firm A had one set of terms and firm B had another, firms would have had a strong incentive to arrive at standard sets of terms, and battles of the forms might have ceased without legislative intervention. I am conjecturing that the incentives may have altered in the networked digital environment, such that the balance may shift in favor of firms' being willing to seek standardization aggressively.
  • 88
    • 0345844955 scopus 로고    scopus 로고
    • note
    • See supra text accompanying notes 8-9; cf. UCITA Draft, supra note 32, §§ 109-110. UCITA recognizes the reasonableness of choice-of-forum selection clauses in electronic commerce: "[It would] be entirely unreasonable to assume that a cruise passenger would or could negotiate the terms of a forum clause in a routine commercial cruise ticket form. Nevertheless, including a reasonable forum clause in such a form well may be permissible for several reasons. Because it is not unlikely that a mishap in a cruise could subject a cruise line to litigation in several different fora, the line has a special interest in limiting such fora. Moreover, a clause establishing [the forum] has the salutary effect of dispelling confusion as to where suits may be brought . . . . Furthermore, it is likely that passengers purchasing tickets containing a forum clause . . . benefit in the form of reduced fares reflecting the savings that the cruise line enjoys . . . ." UCITA Draft Official Comments, supra note 41, § 110 cmt. 3 (alteration and omissions added) (quoting Carnival Cruise Lines, Inc. v. Shute, 499 U.S. 585, 585-86 (1991)).
  • 89
    • 0346475783 scopus 로고    scopus 로고
    • note
    • Even though UCITA is voluminous, it is minimal on the topic of impermissible terms; it just includes a version of the UCC provision on unconscionability. See UCITA Draft, supra note 32, § 111. A global standard will probably have to be more worked out on this issue.
  • 90
    • 0345867332 scopus 로고    scopus 로고
    • Privately Legislated Intellectual Property Rights: Reconciling Freedom of Contract with Public Good Uses of Information
    • See, e.g., J.H. Reichman & Jonathan A. Franklin, Privately Legislated Intellectual Property Rights: Reconciling Freedom of Contract with Public Good Uses of Information, 147 U. PA. L. REV. 875 (1999); Pamela Samuelson & Kurt Opsahl, How Tensions Between Intellectual Property Policy and UCITA Are Likely To Be Resolved, in ECOMMERCE: STRATEGIES FOR SUCCESS IN THE DIGITAL ECONOMY 741, 753-54 (Practicing Law Inst. 1999).
    • (1999) U. Pa. L. Rev. , vol.147 , pp. 875
    • Reichman, J.H.1    Franklin, J.A.2
  • 91
    • 0345867332 scopus 로고    scopus 로고
    • How Tensions between Intellectual Property Policy and UCITA Are Likely to Be Resolved
    • Practicing Law Inst.
    • See, e.g., J.H. Reichman & Jonathan A. Franklin, Privately Legislated Intellectual Property Rights: Reconciling Freedom of Contract with Public Good Uses of Information, 147 U. PA. L. REV. 875 (1999); Pamela Samuelson & Kurt Opsahl, How Tensions Between Intellectual Property Policy and UCITA Are Likely To Be Resolved, in ECOMMERCE: STRATEGIES FOR SUCCESS IN THE DIGITAL ECONOMY 741, 753-54 (Practicing Law Inst. 1999).
    • (1999) Ecommerce: Strategies for Success in the Digital Economy , pp. 741
    • Samuelson, P.1    Opsahl, K.2
  • 92
    • 0347736468 scopus 로고    scopus 로고
    • note
    • In a Coasean interpretation of what happens next, this means that the trespasser must buy the portion of the neighboring land that is encroached upon; and economic theory says that plaintiffs price can come close to what defendant would otherwise lose if it had to tear down the building. Students (and some courts) tend to feel that this is extortionate. On the other hand, if defendant need only pay a "reasonable" price to keep the land, defendants like this one will not be deterred from making mistakes of this kind, since at worst they will have to pay only a "reasonable" price, which is what they would have to pay anyway if they were to negotiate ex ante.
  • 93
    • 0346475781 scopus 로고    scopus 로고
    • note
    • See Calabresi & Melamed, supra note 5, at 1106-10. In this view, property rules are better prima facie, because liability rules cause "unascertainable resentment costs" due to coercion (lack of consent), but where there is market failure property rules can cause such resentment costs too and presumably outweigh those coercion costs. Id. at 1107-08 n.36.
  • 94
    • 0347736469 scopus 로고    scopus 로고
    • note
    • They also mentioned that the costs of establishing a market might in some circumstances outweigh the costs of using liability rules instead of property rules. See id. 85. See id. at 1115-24.
  • 95
    • 0347736412 scopus 로고    scopus 로고
    • See id. at 1121-24
    • See id. at 1121-24.
  • 96
    • 0347106003 scopus 로고    scopus 로고
    • Id. at 1124-26
    • Id. at 1124-26.
  • 98
    • 0347106005 scopus 로고    scopus 로고
    • note
    • See U.C.C. § 2-302 (1998); UCITA Draft Official Comments, supra note 41, § 111 cmt. 4.
  • 99
    • 85050789971 scopus 로고
    • Property Rules and Liability Rules in Unconscionability and Related Doctrine
    • hereinafter Craswell, Property Rules
    • See Richard Craswell, Property Rules and Liability Rules in Unconscionability and Related Doctrine, 60 U. CHI. L. REV. 1 (1993) [hereinafter Craswell, Property Rules]; Richard Craswell, Remedies When Contracts Lack Consent: Autonomy and Institutional Competence, 33 OSGOODE HALL L.J. 209 (1996) [hereinafter Craswell, Remedies].
    • (1993) U. Chi. L. Rev. , vol.60 , pp. 1
    • Craswell, R.1
  • 100
    • 0347105999 scopus 로고    scopus 로고
    • Remedies When Contracts Lack Consent: Autonomy and Institutional Competence
    • hereinafter Craswell, Remedies
    • See Richard Craswell, Property Rules and Liability Rules in Unconscionability and Related Doctrine, 60 U. CHI. L. REV. 1 (1993) [hereinafter Craswell, Property Rules]; Richard Craswell, Remedies When Contracts Lack Consent: Autonomy and Institutional Competence, 33 OSGOODE HALL L.J. 209 (1996) [hereinafter Craswell, Remedies].
    • (1996) Osgoode Hall L.J. , vol.33 , pp. 209
    • Craswell, R.1
  • 101
    • 0345844951 scopus 로고    scopus 로고
    • note
    • "[I]f the coercion cannot practicably be corrected by the seller, a remedy which denied enforcement to all unconsented obligations would effectively make transacting impossible, thus advancing no one's autonomy." Craswell, Remedies, supra note 90, at 233.
  • 102
    • 0347106002 scopus 로고    scopus 로고
    • See id. at 16-17
    • See id. at 16-17.
  • 103
    • 0346475780 scopus 로고    scopus 로고
    • See id. at 16. This case is analogous to the builder who trespasses on neighboring land. See supra note 82
    • See id. at 16. This case is analogous to the builder who trespasses on neighboring land. See supra note 82.
  • 104
    • 0345844950 scopus 로고    scopus 로고
    • See Craswell, Remedies, supra note 90, at 221-29
    • See Craswell, Remedies, supra note 90, at 221-29.
  • 105
    • 0346475676 scopus 로고
    • Risk-of-Error Rules and Non-Ideal Justification
    • J. Roland Pennock & John W. Chapman eds., Nomos XXVIII
    • See Margaret Jane Radin, Risk-of-Error Rules and Non-Ideal Justification, in JUSTIFICATION 33, 34 (J. Roland Pennock & John W. Chapman eds., 1986) (Nomos XXVIII).
    • (1986) Justification , vol.33 , pp. 34
    • Radin, M.J.1
  • 106
    • 0347736411 scopus 로고    scopus 로고
    • note
    • In his conclusion, Craswell seems to postpone this question: "[A]ny analysis of the proper remedy in cases where consent is lacking must pay some attention to questions of institutional competence. In particular, if courts are to strike down contracts whose terms are substantively unreasonable, while allowing enforcement of reasonable obligations, their ability to distinguish reasonable from unreasonable obligations must be considered." Craswell, Remedies, supra note 90, at 235. Considered by whom?
  • 107
    • 0345844949 scopus 로고
    • Presumptive Positivism in Trivial Cases
    • See Margaret Jane Radin, Presumptive Positivism in Trivial Cases, 14 HARV. J.L. & PUB. POL'Y 823 (1991).
    • (1991) Harv. J.L. & Pub. Pol'y , vol.14 , pp. 823
    • Radin, M.J.1
  • 108
    • 0347736395 scopus 로고
    • A Reexamination of Nonsubstantive Unconscionability
    • See Leff, supra note 1, at 155-57
    • See Leff, supra note 1, at 155-57; Alan Schwartz, A Reexamination of Nonsubstantive Unconscionability, 63 VA. L. REV. 1053, 1071-73 (1977).
    • (1977) Va. L. Rev. , vol.63 , pp. 1053
    • Schwartz, A.1
  • 109
    • 0346475735 scopus 로고    scopus 로고
    • See Craswell, Remedies, supra note 90, at 232
    • See Craswell, Remedies, supra note 90, at 232.
  • 110
    • 0001656306 scopus 로고
    • Property, Utility, and Fairness: Comments on the Ethical Foundations of "Just Compensation" Law
    • See Frank I. Michelman, Property, Utility, and Fairness: Comments on the Ethical Foundations of "Just Compensation" Law, 80 HARV. L. REV. 1165 (1967).
    • (1967) Harv. L. Rev. , vol.80 , pp. 1165
    • Michelman, F.I.1
  • 111
    • 0347106004 scopus 로고    scopus 로고
    • See id. at 1229-34
    • See id. at 1229-34.
  • 112
    • 0345844907 scopus 로고    scopus 로고
    • See, e.g., Pennsylvania Coal Co. v. Mahon, 260 U.S. 393, 417 (1922) (Brandeis, J., dissenting)
    • See, e.g., Pennsylvania Coal Co. v. Mahon, 260 U.S. 393, 417 (1922) (Brandeis, J., dissenting).


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