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Many software products and Internet services require that users agree to an EULA or terms of service agreement before the product or service can be used. The user is often required to state that he/she has read and agrees to the terms. However, many users don't even read the terms and blindly agree to the contract.

Does the user of the product or service risk liability solely because the user falsely claimed he/she read the agreement, even if the contract is never breached? Can the company providing the product or service take legal action on this cause alone?

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    Liability for what? What harm has come to the other party?
    – Calchas
    Jun 16 '15 at 23:24
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    @Calchas as I read the question, the harm is that they've been lied to. A consumer is using their product or service under the false assurance that they've read the eula. So can that consumer be liable for damages on that fact alone; the damages being whatever harm flows from the false statement. I think that's the problem our imaginary plaintiff will have - what's the harm they are seeking to redress?
    – jqning
    Jun 18 '15 at 12:05
  • It is always hard to prove a negative. Do you have anything that leads you to believe that this would cause a breach?
    – Terry
    Dec 21 '15 at 13:30
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The EULA is in most jurisdictions a legally binding contract; there is plenty of case law that supports this.

You can only be liable under a contract for breaching its terms and only to the extent that the other party suffers harm from that breach.

Clearly, if you haven't read the terms then you are greatly increasing the chance that you will inadvertently breach them but not reading them would not, of itself, be a breach and I can't see what harm could flow anyway.

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    Would you add some citations?
    – user301
    Jun 17 '15 at 11:15
  • @Thomas litigation-essentials.lexisnexis.com/webcd/…
    – Dale M ♦
    Jun 17 '15 at 11:26
  • @nomenagentis from my brief look at these they relate to specific terms; it was not in contention that EULA were not contracts per se. You can write unenforceable contracts on-line as easily as on paper for a whole variety of reasons.
    – Dale M ♦
    Jun 17 '15 at 20:35

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