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The United States Constitution limits the power of the national legislature, but also provides that laws properly adopted by the national legislature override or "preempt" inconsistent state laws. The federal courts have interpreted this principle to invalidate, not only state laws that are clearly inconsistent with valid federal statutes, but also state laws that undermine the spirit or purposes of valid federal statutes. The result is that the scope of this principle of federal "preemption" is somewhat vague. Some federal statutes, including the Copyright Statute, try to reduce that vagueness by specifying the kinds of state laws they preempt, but such provisions do not altogether eliminate the uncertainty.

In this murky environment, the critics of click-wrap licenses argued that using state contract law to enforce them should be deemed preempted by federal Copyright law. The primary reason was that click-wrap licenses typically deprived consumers of many crucial privileges under copyright law and therefore upset the delicate balance balance between the rights of copyright-holders and the exceptions and limitations that benefit users -- a balance that, as we have seen, is crucial to the copyright system.

At a minimum, the critics argued, the issue was sufficiently complex that the federal courts would struggle for years to determine the extent to which the preemption principle applied in this context, leaving the enforceability of the licenses unclear and undermining the overall aspiration of the UCC to secure nationwide uniformity in contract law.

Finally, academic critics such as David Nimmer argued that, if mass-market click-wrap licenses were validated by proposed revision of the UCC, software vendors could deprive consumers of choice and competition by using the same "take-it-or-leave-it" click-wrap licenses across the industry. Nimmer suggested that this would amount to "'private legislation' that serves to alter en masse the public's rights granted under the Copyright Act."

Economic arguments

Cem Kaner contended in public meetings and in published formal letters that the proposed modification of the UCC would shift the relationship between software companies and their customers. “Whether or not you agree with me, it’s important that you understand that the ground rules are about to change,” he wrote in a March 1996 magazine article.

Kaner acknowledged the legitimacy of the software companies’ concerns. If contract law were not altered to limit the companies' liability for the consequences of faulty products, the companies would be obliged to raise the prices of their products. All consumers would thus suffer to some degree. More precisely, consumers as a group would bear the cost of compensating the relatively few consumers who suffered economic injuries resulting from defects in software products.

However, Kaner argued, enabling the companies to use click-on licenses to avoid liability for defects would leave to even worse outcomes. The increased leverage for software sellers, he argued, would not motivate them to convert their savings into lower prices for their products. Rather, it would induce them to spend less money on testing their products for major problems or on fixing those problems before releasing their products onto the open market.

Questions & Answers

I only see partial conversation and what's the question here!
Crow Reply
what about nanotechnology for water purification
RAW Reply
please someone correct me if I'm wrong but I think one can use nanoparticles, specially silver nanoparticles for water treatment.
what is the stm
Brian Reply
is there industrial application of fullrenes. What is the method to prepare fullrene on large scale.?
industrial application...? mmm I think on the medical side as drug carrier, but you should go deeper on your research, I may be wrong
How we are making nano material?
what is a peer
What is meant by 'nano scale'?
What is STMs full form?
scanning tunneling microscope
how nano science is used for hydrophobicity
Do u think that Graphene and Fullrene fiber can be used to make Air Plane body structure the lightest and strongest. Rafiq
what is differents between GO and RGO?
what is simplest way to understand the applications of nano robots used to detect the cancer affected cell of human body.? How this robot is carried to required site of body cell.? what will be the carrier material and how can be detected that correct delivery of drug is done Rafiq
what is Nano technology ?
Bob Reply
write examples of Nano molecule?
The nanotechnology is as new science, to scale nanometric
nanotechnology is the study, desing, synthesis, manipulation and application of materials and functional systems through control of matter at nanoscale
Is there any normative that regulates the use of silver nanoparticles?
Damian Reply
what king of growth are you checking .?
What fields keep nano created devices from performing or assimulating ? Magnetic fields ? Are do they assimilate ?
Stoney Reply
why we need to study biomolecules, molecular biology in nanotechnology?
Adin Reply
yes I'm doing my masters in nanotechnology, we are being studying all these domains as well..
what school?
biomolecules are e building blocks of every organics and inorganic materials.
anyone know any internet site where one can find nanotechnology papers?
Damian Reply
sciencedirect big data base
Introduction about quantum dots in nanotechnology
Praveena Reply
what does nano mean?
Anassong Reply
nano basically means 10^(-9). nanometer is a unit to measure length.
do you think it's worthwhile in the long term to study the effects and possibilities of nanotechnology on viral treatment?
Damian Reply
absolutely yes
how to know photocatalytic properties of tio2 nanoparticles...what to do now
Akash Reply
it is a goid question and i want to know the answer as well
characteristics of micro business
for teaching engĺish at school how nano technology help us
How can I make nanorobot?
how did you get the value of 2000N.What calculations are needed to arrive at it
Smarajit Reply
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Source:  OpenStax, Copyright for librarians. OpenStax CNX. Jun 15, 2011 Download for free at http://cnx.org/content/col11329/1.2
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