Direction: Read carefully and critically analyze and answer the questions. Answer should be in your own words.

T1-CASE 1. Case Brief

Issue:

Is the arbitration provision under Zappos’s “Terms of Use” enforceable?

Facts: 

After releasing news of a breach of its website, Zappos faced numerous lawsuits from unhappy customers. Zappos moved to compel arbitration as mandated in its Terms of Use listed on its website. The customers argued that the agreement was unfairly unilateral because in the terms of use Zappos stipulated that it could change its terms of use, and all of its agreements anytime at its own discretion. Therefore, customers argued that they should not have to use arbitration and instead should be able to file their class action lawsuit against Zappos.

Procedural History:

N/A.

Holding: No; Zappos’s motion to compel arbitration is denied.

Q.1.Analyze the reason for the validity of this contract and mention whether it can be enfoced in the court. 

Q2.Develop your thought to explain 2 issues of the case based on the validity of the contract.

T-II-Application

Q1.Prepare a case based on the business problems of MiniTrial and Summary Trial.

The case must have the following:

a. Introduction of Minitrial and Summary Trial as a method to resolve conflict. 

b. The business problem. 

c. The parties to the case and their introduction

d. Solution and binding effect.