Barnett v. Network Solutions, Inc., 38 S.W.3d 200 (Tex. App. 2001). · Go Syfert
Barnett v. Network Solutions, Inc., 38 S.W.3d 200 (Tex. App. 2001). Cases Citing This Book View Copy Cite
96 citation events (96 in the last 25 years) across 13 distinct courts.
Strongest positive: Aggreko, LLC v. Bronxcare Health System, Formerly Known as the Bronx-Lebanon Hospital Center (texapp, 2024-01-23)
Treatment trajectory · 2001 → 2026 · click a year to view as-of
2001 2013 2026
Top citers, strongest first. 48 distinct citers. How cited ↗
discussed Cited as authority (rule) Aggreko, LLC v. Bronxcare Health System, Formerly Known as the Bronx-Lebanon Hospital Center
Tex. App. · 2024 · confidence medium
We review a trial court’s decision on the validity or enforceability of a forum-selection clause under an abuse of discretion standard, except when review involves contractual interpretation of the clause, for which we employ a de novo standard of review.2 Id.; Barnett v. Network Sols., Inc., 38 S.W.3d 200, 203 (Tex. App.—Eastland 2001, pet. denied). 2 In their briefing, the parties disagree regarding the standard of review that should apply when, as here, there was no evidentiary hearing.
cited Cited as authority (rule) Elepreneurs Holdings, LLC v. Benson
E.D. Tex. · 2021 · confidence medium
Tex. July 16, 2015) (citing Barnett v. Network Sol., 38 S.W.3d 200, 204 (Tex. App.—Eastland 2001, pet. denied).
discussed Cited as authority (rule) in Re Benevis, LLC, Dentistry of Brownsville, P.C., and Kool Smiles, P.C.
Tex. App. · 2015 · confidence medium
Inst., Inc., 94 S.W.3d 91, 96 (Tex.App.-Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, ICP argues that trial by jury affords such fundamental private Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. and public benefits that it cannot be waived by agreement. denied); Stobaugh v. Norwegian Cruise Line Ltd., 5 We certainly agree with ICP that juries in civil cases provide S.W.3d 232, 236 (Tex.App.-Houston [14th Dist.] 1999, an important public participation in the civil justice system. pet. denied); Southwest Intelecom, Inc. v. Hotel Networks But as ICP acknowledges,…
cited Cited as authority (rule) Johnny E. Webb, III v. Alex Rodriguez
Tex. App. · 2015 · confidence medium
Inst., Inc., 94 S.W.3d 91, 95 (Tex.App.-Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.- Eastland 2001, pet. denied) (emphasis added).
discussed Cited as authority (rule) in Re Prime Insurance Company (2×) also: Cited "see"
Tex. App. · 2014 · confidence medium
Nevertheless, these factors generally fall within the framework applicable to the analysis of forum selection fundamentally unfair”); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex. App.—Eastland 2001, pet. denied) (“Even though a forum[-]selection clause in a non-negotiated form contract is valid, enforcement of the clause is subject to judicial scrutiny for fundamental fairness.”); Cismaru v. Radisson Seven Seas Cruises, Inc., No. 07-00-00100-CV, 2001 WL 6546 , at *1 (Tex. App.—Amarillo Jan. 2, 2001, no pet.) (mem. op.) (following Carnival Cruise and stating that feder…
discussed Cited as authority (rule) In re Online Travel Company (OTC)
N.D. Tex. · 2013 · confidence medium
See, e.g., Recursion Software Inc. v. Interactive Intelligence, Inc., 425 F.Supp.2d 756, 783 (N.D.Tex.2006); Barnett v. Network Solutions Inc., 38 S.W.3d 200, 204 (Tex.App.-Eastland 2001) (upholding a forum selection clause in a clickwrap agreement similar to Travelocity’s).
discussed Cited as authority (rule) in Re Emex Holdings Llc
Tex. App. · 2013 · confidence medium
See In re Int’l Profit Assocs., 286 S.W.3d at 922 ; Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 204 (Tex. App.—Eastland 2001, pet. denied) (applying this rule in the context of a forum-selection clause).
discussed Cited as authority (rule) Josue Gonzalez Rodriguez v. State
Tex. App. · 2012 · confidence medium
See In re Int’l Profit Assocs., 286 S.W.3d at 922 ; Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 204 (Tex. App.—Eastland 2001, pet. denied) (applying this rule in the context of a forum selection clause).
discussed Cited as authority (rule) One Beacon Ins. Co. v. CROWLEY MARINE SERVICES
5th Cir. · 2011 · confidence medium
Pa. 2007) (applying “traditional principles of contract law” to determine enforceability of terms and conditions governing a “clickwrap” agreement); Barnett v. Network Solutions, Inc., 38 S.W. 3d 200, 204 (Tex. Ct. App.—Eastland 2001, pet. denied) (holding that a party with notice of and opportunity to review contract terms is bound by those terms even where party has not read them, and “[t]he same rule applies to contracts which appear in an electronic format”).
discussed Cited as authority (rule) One Beacon Insurance v. Crowley Marine Services, Inc.
5th Cir. · 2011 · confidence medium
However, “[wjhile new commerce on the Internet has exposed courts to many new situations, it has not fundamentally changed the principles of contract.” Register.com, Inc. v. Verio, Inc., 356 F.3d 393, 403 (2d Cir. 2004); see also Specht v. Netscape Commc’ns Corp., 306 F.3d 17 , 31 (2d Cir. 2002) (traditional contract principles applicable to “the world of paper transactions” regarding the enforceability of contract terms against a party on notice of the existence of those terms “apply equally to the emergent world” of online contracting); Feldman v. Google, Inc., 513 F.Supp.2d 22…
discussed Cited as authority (rule) West Texas Hospitality, Inc. D/B/A Enerserv Consultants v. Enercon International, Inc. and Paul Saxton
Tex. App. · 2010 · confidence medium
Phoenix Network, 177 S.W.3d at 611 -12 & n.6. 8 See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.--Eastland 2001, pet. denied).7 If Enercon met these prerequisites, the burden would then shift to WTH to make a "strong showing" overcoming the prima facie validity of the forum-selection clause.
cited Cited as authority (rule) $5,134.00 U. S. Currency and 2002 Lincoln Navigator, VIN 5LMEU27R92LJ11912 v. State
Tex. App. · 2009 · confidence medium
Barnett v. Network Solutions, Inc. , 38 S.W.3d 200, 203 (Tex. App--Eastland 2001, pet. denied); Sw.
discussed Cited as authority (rule) Michael Don Brown v. State
Tex. App. · 2009 · confidence medium
(Europe) Ltd. v. Neon Sys., Inc., 177 S.W.3d 605, 610 (Tex.App.--Houston [1st Dist.] 2005, no pet.).  This is so because "a trial court has no 'discretion' in determining what the law is or applying the law to the facts"; Walker v. Packer , 827 S.W.2d 833, 840 (Tex. 1992), and "abuses its discretion" if it misinterprets or misapplies the law.  Perry Homes v. Cull , 258 S.W.3d 580, 598 (Tex. 2008).            Forum-selection Clause            The trial court's order does not contain a specific finding of the existence of a written agreement, nor d…
cited Cited as authority (rule) Tom Ramsay v. Texas Trading Co., Inc., and ADM Investor Services, Inc.
Tex. App. · 2008 · confidence medium
Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex. App—Eastland 2001, pet. denied); Sw.
cited Cited as authority (rule) Tom Ramsay v. Texas Trading Co., Inc., and ADM Investor Services, Inc.
Tex. App. · 2008 · confidence medium
Barnett v. Network Solutions, Inc. , 38 S.W.3d 200, 203 (Tex. App--Eastland 2001, pet. denied); Sw.
discussed Cited as authority (rule) Ramsay v. Texas Trading Co., Inc. (2×)
Tex. App. · 2008 · confidence medium
Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied); Sw.
cited Cited as authority (rule) Realpage, Inc. v. EPS, Inc.
E.D. Tex. · 2007 · confidence medium
Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.Civ.App.-Eastland 2001, pet. denied).
discussed Cited as authority (rule) Hotels.com, L.P. v. Canales
Tex. App. · 2006 · confidence medium
Finally, in Barnett v. Network Solutions, 38 S.W.3d 200, 204 (Tex.App.-Eastland 2001, pet. denied), the court upheld a forum selection clause in an online contract for registering Internet domain names that required users to scroll through terms before accepting or rejecting them.
discussed Cited as authority (rule) Rogers v. Dell Computer Corp. (2×)
Okla. · 2005 · confidence medium
Lan Systems, Inc. v. Netscout Service Level Corp., 183 F.Supp.2d 328, 337 (D.Mass.2002) [Licensing agreement enforceable contract.]; Forrest v. Verizon Communications, Inc., 805 A.2d 1007, 1009 (D.C.App.2002) [Notice of forum selection clause in click-wrap agreement sufficient.]; Bischoff v. DirecTV, Inc., 180 F.Supp.2d 1097, 1104 (C.D.Cal.2002) [Arbitration clause in customer service agreement which did not involve the sale of goods was valid and enforceable.]; 1-A Equipment Co. v. Icode, Inc., 2003 WL 549913 , 1-2 (Mass.App.Div.2003) [End user software agreement valid.]; Moore v. Microsoft C…
examined Cited as authority (rule) Phoenix Network Technologies (Europe) Ltd. v. Neon Systems, Inc. (3×) also: Cited "see, e.g."
Tex. App. · 2005 · confidence medium
Inst., Inc., 94 S.W.3d 91, 97 (Tex.App.-Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied); Mabon Ltd. v. Afri-Carib Enters., Inc., 29 S.W.3d 291, 296-97 (Tex.App.-Houston [14th Dist.] 2000, no pet.); Southwest Intelecom, Inc. v. Hotel Networks Corp., 997 S.W.2d 322, 324 (Tex.App.-Austin 1999, pet. denied); Accelerated Christian Educ., Inc. v. Oracle Corp., 925 S.W.2d 66, 70 (Tex.App.-Dallas 1996, no writ); Greenwood v. Tillamook Country Smoker, Inc., 857 S.W.2d 654, 656 (Tex.App.-Houston [1st Dist.] 1993, no wr…
discussed Cited as authority (rule) Rogers v. Dell Computer Corp. (2×)
Okla. · 2005 · confidence medium
Lan Systems, Inc. v. Netscout Service Level Corp., 183 F.Supp.2d 328, 337 (D.Mass.2002) [Licensing agreement enforceable contract.]; Forrest v. Verizon Communications, Inc., 805 A.2d 1007, 1009 (D.C.App.2002) [Notice of forum selection clause in click-wrap agreement sufficient.]; Bischoff v. DirecTV, Inc., 180 F.Supp.2d 1097, 1104 (C.D.Cal.2002) [Arbitration clause in customer service agreement which did not involve the sale of goods was valid and enforceable.]; 1-A Equipment Co. v. Icode, Inc., 2003 WL 549913 , 1-2 (Mass.App.Div.2003) [End user software agreement valid.]; Moore v. Microsoft C…
cited Cited as authority (rule) Rueben Lowing and Orlin Norris, Jr. v. Daryl Williams
Tex. App. · 2005 · confidence medium
My Café CC, Ltd. v. Lunchstop, Inc., 107 S.W.3d 860, 864 (Tex.App.–Dallas 2003, no pet.); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.–Eastland 2001, pet. denied).
cited Cited as authority (rule) Rueben Lowing and Orlin Norris, Jr. v. Daryl Williams
Tex. App. · 2005 · confidence medium
My Café CC, Ltd. v. Lunchstop, Inc., 107 S.W.3d 860, 864 (Tex.App.–Dallas 2003, no pet.); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.–Eastland 2001, pet. denied).
cited Cited as authority (rule) Rueben Lowing and Orlin Norris, Jr. v. Daryl Williams
Tex. App. · 2005 · confidence medium
My Café CC, Ltd. v. Lunchstop, Inc., 107 S.W.3d 860, 864 (Tex.App.-Dallas 2003, no pet.); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied).
discussed Cited as authority (rule) In Re Prudential Insurance Co. of America (2×)
Tex. · 2004 · confidence medium
Inst., Inc., 94 S.W.3d 91, 96 (Tex.App.-Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied); Stobaugh v. Norwegian Cruise Line Ltd., 5 S.W.3d 232, 236 (Tex.App.-Houston [14th Dist.] 1999, pet. denied); Southwest Intelecom, Inc. v. Hotel Networks Corp., 997 S.W.2d 322, 324 (Tex.App.-Austin 1999, pet. denied); Abocan Technical Servs.
discussed Cited as authority (rule) In Re AIU Insurance Co. (2×)
Tex. · 2004 · confidence medium
Inst., Inc., 94 S.W.3d 91, 101-03 (Tex.App.Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203-05 (Tex.App.-Eastland 2001, pet. denied); Abacan Technical Servs.
cited Cited as authority (rule) My Cafe-CCC, Ltd. v. Lunchstop, Inc.
Tex. App. · 2003 · confidence medium
Inst, Inc., 94 S.W.3d 91, 95 (Tex.App.-Houston [14th Dist.] 2002, pet. denied); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied).
discussed Cited as authority (rule) DeJohn v. The. TV Corp. Intern. (2×) also: Cited "see"
C.D. Ill. · 2003 · confidence medium
See Forrest v. Verizon Comms., Inc., 805 A.2d 1007, 1014 (D.C.App.Ct.2002) (upholding forum selection clause in an Internet click-wrap agreement); Barnett, 38 S.W.3d at 203-04 (upholding forum selection clause in online contract for registration of Internet domain names which required users to scroll through terms before accepting or rejecting them); Caspi v. Microsoft Network, L.L.C., 323 N.J.Super. 118 , 732 A.2d 528, 530, 532-33 (App.Div.1999) (upholding forum selection clause where online software users were required to review license terms in scrollable window and click “I Agree” or �…
examined Cited as authority (rule) Holeman v. National Business Institute, Inc. (7×) also: Cited "see"
Tex. App. · 2002 · confidence medium
Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-East-land 2001, pet. denied). 1.
examined Cited as authority (rule) Holeman, J. Eric v. the National Business Institute, Inc. (7×) also: Cited "see"
Tex. App. · 2002 · confidence medium
Barnett v. Network Solutions, Inc. , 38 S.W.3d 200, 203 (Tex. App. C Eastland 2001, pet. denied). 1.
discussed Cited as authority (rule) Specht v. Netscape Communications Corp.
2d Cir. · 2002 · confidence medium
Online Transactions Cases in which courts have found contracts arising from Internet use do not assist defendants, because in those circumstances there was much clearer notice than in the present case that a user’s act would manifest assent to contract terms. 16 See, e.g., Hotmail Corp. v. Van$ Money Pie Inc., 47 U.S.P.Q.2d 1020 , 1025 (N.D.Cal.1998) (granting preliminary injunction based in part on breach of “Terms of Service” agreement, to which defendants had assented); America Online, Inc. v. Booker, 781 So.2d 423, 425 (Fla.Dist.Ct.App.2001) (upholding forum selection clause in “fr…
discussed Cited as authority (rule) Specht v. Netscape Communications Corporation
2d Cir. · 2002 · confidence medium
App.2001) (upholding forum selection clause in "freely negotiated agreement" contained in online terms of service); Caspi v. Microsoft Network, L.L.C., 323 N.J.Super. 118 , 732 A.2d 528, 530, 532-33 (N.J.Super.Ct.App.Div.1999) (upholding forum selection clause where subscribers to online software were required to review license terms in scrollable window and to click "I Agree" or "I Don't Agree"); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203-04 (Tex.App.2001) (upholding forum selection clause in online contract for registering Internet domain names that required users to scroll throu…
discussed Cited as authority (rule) Forrest v. Verizon Communications, Inc.
D.C. · 2002 · confidence medium
See Carnival Cruise Lines, supra note 9, 499 U.S. at 595 , 111 S.Ct. 1522 ; Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.Ct.App.2001) (“Courts may ... consider whether ... the party retained the option of rejecting the contract with impunity following notice of the forum selection clause.”); Caspi, supra, 732 A.2d at 531 .
cited Cited as authority (rule) Greenbelt Electric Cooperative v. Barry Sanders and Lynn Mills
Tex. App. · 2002 · confidence medium
My Café CC, Ltd. v. Lunchstop, Inc., 107 S.W.3d 860, 864 (Tex.App.-Dallas 2003, no pet.); Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.-Eastland 2001, pet. denied).
examined Cited as authority (rule) Klenz v. AVI International (3×) also: Cited "see"
S.D. · 2002 · confidence medium
Id. at 204 (internal citations omitted) (emphasis added).
discussed Cited "see" Diamond Offshore (Bermuda), Ltd. v. Haaksman (2×)
Tex. App. · 2011 · signal: see · confidence high
See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex. App.-Eastland 2001, pet. denied) (citing Sw.
cited Cited "see" Diamond Offshore (Bermuda), Ltd v. Suzanne Elisabeth Haaksman as Beneficiary of Robert Duncan Burn Quinn, and Thomas Joseph McCartney
Tex. App. · 2011 · signal: see · confidence high
See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex. App.—Eastland 2001, pet. denied) (citing Sw.
discussed Cited "see" West Texas Hospitality, Inc. D/B/A Enerserv Consultants v. Enercon International, Inc. and Paul Saxton
Tex. App. · 2010 · signal: see · confidence high
See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.--Eastland 2001, pet. denied). [7] If Enercon met these prerequisites, the burden would then shift to WTH to make a "strong showing" overcoming the prima facie validity of the forum-selection clause.
discussed Cited "see" West Texas Hospitality, Inc. D/B/A Enerserv Consultants v. Enercon International, Inc. and Paul Saxton
Tex. App. · 2010 · signal: see · confidence high
See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203 (Tex.App.--Eastland 2001, pet. denied).[7] If Enercon met these prerequisites, the burden would then shift to WTH to make a "strong showing" overcoming the prima facie validity of the forum-selection clause.
cited Cited "see" Feldman v. Google, Inc.
E.D. Pa. · 2007 · signal: see · confidence high
See Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 204 (Tex.App.2001) (citing Carnival Cruise Lines, 499 U.S. at 594 , 111 S.Ct. 1522 ).
cited Cited "see" Recursion Software, Inc. v. Interactive Intelligence, Inc.
N.D. Tex. · 2006 · signal: see · confidence high
See Barnett v. Network Solutions, 38 S.W.3d 200, 204 (Tex.App.— Eastland 2001, pet. denied).
discussed Cited "see" Gilliam v. Global Leak Detection U.S.A., Inc.
S.D. Tex. · 2001 · signal: accord · confidence high
The law presumes that a party “who has the opportunity to read an arbitration agreement and signs it, knows its contents.” Id.; accord Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 204 (Tex.App. — Eastland 2001, pet. denied) (“Parties to a written contract have the obligation to read what they sign; and, absent ... fraud ... they are not excused from the consequences attendant upon a failure to read the contract.”).
discussed Cited "see, e.g." TBC - the Boring Company v. 304 Construction, LLC
Tex. App. · 2024 · signal: see also · confidence medium
See One Beacon Ins., 648 F.3d at 269 (“The chief consideration when determining the validity of contractual terms—in contracts with or without a nexus to the internet—is whether the party to be bound had reasonable notice of the terms at issue and whether the party manifested assent to those terms.”); see also Barnett v. Network Sols., Inc., 38 S.W.3d 200, 204 (Tex. App.—Eastland 2001, pet denied) (concluding that party with notice of and opportunity to review contract terms is bound to terms even if party has not read them and that “same rule applies to contracts which appear in a…
cited Cited "see, e.g." Stubhub, Inc. v. Wesley T. Ball
Tex. App. · 2023 · signal: see, e.g. · confidence medium
See, e.g., Barnett v. Network Sols., 38 S.W.3d 200, 204 (Tex. App.—Eastland 2001, pet. denied); Bongalis-Royer v. RJ Worldwide, LLC, No. 4:14-CV-330, 2015 WL 12778846 , at *5 (E.D.
cited Cited "see, e.g." Albert Lujan D/B/A Texas Wholesale Flower Co. v. Navistar, Inc., Navistar International Corporation, Navistar International Transportation Corp., International Truck and Engine Corporation and Santex Truck Centers, Ltd.
Tex. App. · 2015 · signal: see also · confidence medium
Id.; see also Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203-04 (Tex.App.-Eastland 2001, pet. denied). 2.
discussed Cited "see, e.g." Fieldtech Avionics & Instruments, Inc., Kevin Nelms, and David Mills v. Component Control.Com, Inc., D/B/A Component Control CitiCapital Technology Finance, Inc., D/B/A Bankers Leasing And CitiCorp USA, Inc., D/B/A CitiCapital, CitiCapital Technology Finance, Inc. Bankers Leasing, and Softech Financial
Tex. App. · 2008 · signal: see also · confidence low
Id.; see also Barnett v. Network Solutions, Inc., 38 S.W.3d 200 , 203–04 (Tex. App.—Eastland 2001, pet. denied). 3 After nineteen months of discovery, CitiCapital filed no-evidence and traditional motions for summary judgment, and Component Control filed a combined no-evidence and traditional motion for summary judgment.
discussed Cited "see, e.g." Fieldtech Avionics & Instruments, Inc., Kevin Nelms, and David Mills v. Component Control.Com, Inc., D/B/A Component Control CitiCapital Technology Finance, Inc., D/B/A Bankers Leasing And CitiCorp USA, Inc., D/B/A CitiCapital, CitiCapital Technology Finance, Inc. Bankers Leasing, and Softech Financial
Tex. App. · 2008 · signal: see also · confidence low
Id. ; see also Barnett v. Network Solutions, Inc. , 38 S.W.3d 200 , 203–04 (Tex. App.—Eastland 2001, pet. denied). 2: In deposition testimony, Nelms testified that Component Control had demonstrated the software’s operation to Fieldtech telephonically and through a webcast. 3: The record does not show that the trial court ruled on Fieldtech’s special exceptions, but a trial court implicitly overrules special exceptions when it grants summary judgment on the motion to which the special exceptions pertain.
cited Cited "see, e.g." Fieldtech Avionics & Instruments, Inc. v. Component Control. Com, Inc.
Tex. App. · 2008 · signal: see also · confidence medium
Id.; see also Barnett v. Network Solutions, Inc., 38 S.W.3d 200, 203-04 (Tex.App.-Eastland 2001, pet. denied). 2 .
Retrieving the full opinion text from the archive…
Randall BARNETT, Appellant,
v.
NETWORK SOLUTIONS, INC., Appellee
11-00-00079-CV.
Court of Appeals of Texas.
Jan 11, 2001.
38 S.W.3d 200
2001 Tex. App. LEXIS 283
2001 WL 58861
Adam J. Williams, George Parker Young, Friedman, Young, Suder & Cooke, Fort Worth, for Appellant., Debra McComas, David H. Harper, Haynes & Boone, Dallas, Philip Sbarbaro, Network Solutions, Inc., Herndon, VA, for Appellee.
Wright, McCall, Dickenson.
Cited by 57 opinions  |  Published

Opinion

WRIGHT, Justice.

This case involves the validity of a forum selection clause in a contract between Randall Barnett and Network Solutions, Inc. (NSI). The trial court held that the forum selection clause was valid and dismissed Barnett’s suit. We affirm.

The record reflects that, when the events giving rise to this lawsuit occurred, NSI was the exclusive registrar of certain internet domain names such as “.net” and “.org.” See PGMedia, Inc. v. Network Solutions, Inc., 51 F.Supp.2d 389, 393-94 (S.D.N.Y.1999); Beverly v. Network Solutions, Inc., No. C-98-0337-VRW, 1998 WL 320829 (N.D.Cal. June 12, 1998). [1] NSI’s status as such registrar was, by virtue of a “Cooperative Agreement” between it and the United States of America, represented by the National Science Foundation.

As far as this case is concerned, Barnett entered into a contract with NSI desiring to register certain internet domain names. The electronic format of the contract required Barnett to electronically scroll through the contract in order to accept its provisions and obtain the registration or reject the provisions. One of those provisions was a forum selection clause requiring that any suit brought upon the contract must be brought in the State of Virginia.

Prior to the events giving rise to this lawsuit, Barnett had requested and received various domain name registrations through NSI. In the present case, Barnett claims that NSI failed to register certain domain names for which he had contracted, and he asserts that he was damaged by that failure.

NSI moved to dismiss Barnett’s suit, claiming that its contract with Barnett required that any suit on the contract be brought in Virginia. On appeal, Barnett maintains that the trial court abused its discretion when it granted the motion to dismiss. Specifically, Barnett asserts that the forum selection clause is fundamentally unfair and unenforceable for four reasons: Texas has a significant interest in[*203] providing citizens with a forum to resolve disputes; NSI did not give adequate notice of the forum selection clause; the forum selection clause was placed in the agreement solely to discourage legitimate claims; and he was not able to reject the agreement with impunity because NSI was a monopoly.

We review a trial court’s decision regarding the validity and enforcement of forum selection clauses under an abuse of discretion standard. Bowers v. Matula, 943 S.W.2d 536, 538 (Tex.App.-Houston [1st Dist.] 1997, no writ). A trial court abuses its discretion when it acts arbitrarily and unreasonably without reference to guiding rules or principles or when it misapplies the law to the facts in the case. Baywood Country Club v. Estep, 929 S.W.2d 532, 535 (Tex.App.-Houston [1st Dist.] 1996, writ den’d).

Forum selection clauses are valid if they are contractually agreed to by the parties and if the named forum recognizes the validity of such a provision. Southwest Intelecom, Inc. v. Hotel Networks Corp., 997 S.W.2d 322, 324 (Tex.App.-Austin 1999, pet’n den’d); Accelerated Christian Education, Inc. v. Oracle Corporation, 925 S.W.2d 66, 70 (Tex.App.-Dallas 1996, no writ). Even though a forum selection clause in a non-negotiated form contract is valid, enforcement of the clause is subject to judicial scrutiny for fundamental fairness. Carnival Cruise Lines, Inc. v. Shute, 499 U.S. 585, 594, 111 S.Ct. 1522, 113 L.Ed.2d 622 (1991); Stobaugh v. Norwegian Cruise Line Limited, 5 S.W.3d 232, 236 (Tex.App.-Houston [14th Dist.] 1999, pet’n den’d). Since Virginia law recognizes and provides for the validity of forum selection clauses and since neither party claims on appeal that there was not a contract, we hold that the forum selection clause is valid. See Paul Business Systems, Inc. v. Canon U.S.A, Inc., 240 Va. 337, 397 S.E.2d 804, 807 (1990).

As previously stated, even though a forum selection clause in a written contract is valid, a court may determine that it is unreasonable to enforce the clause under the circumstances of a particular case. Carnival Cruise Lines, Inc. v. Shute, supra; Bremen v. Zapata Off-Shore Co., 407 U.S. 1, 10, 92 S.Ct. 1907, 32 L.Ed.2d 513 (1972); Mitsui & Co. (USA), Inc. v. Mira M/V, 111 F.3d 33, 35 (5th Cir.1997). In reaching its conclusion, the court will exercise judicial scrutiny to determine whether enforcement of the clause would be fundamentally unfair. Carnival Cruise Lines, Inc. v. Shute, supra; Bremen v. Zapata Off-Shore Co., supra; Mitsui & Co. (USA), Inc. v. Mira M/V, supra. The party challenging the forum selection clause has the “heavy burden” of making such a showing. Mitsui & Co. (USA), Inc. v. Mira M/V, supra.

When addressing the enforceability of forum selection clauses, the courts have utilized various factors in making a determination. For instance, a trial court is not bound by a forum selection clause if the interests of the witnesses and the public strongly favor a different forum. Accelerated Christian Education, Inc. v. Oracle Corporation, supra at 71. Courts may also consider whether the forum was selected to discourage legitimate claims, whether there was fraud or over-reaching, whether there was adequate notice, and whether the party retained the option of rejecting the contract with impunity following notice of the forum selection clause. Stobaugh v. Norwegian Cruise Line Limited, supra at 234. In addition, courts may consider whether the clause would effectively deprive a party of his day in court. Mitsui & Co. (USA), Inc. v. Mira M/V, supra.

Although Texas does have a significant interest in providing citizens with a forum to resolve disputes, that factor is not solely determinative. Furthermore, Virginia provides an adequate forum in which to determine the case.

Barnett also claims that he did not have adequate notice of the forum[*204] selection clause because it was hidden in the registration agreement. However, the record demonstrates that the forum selection clause was stated clearly in the registration agreement. By the very nature of the electronic format of the contract, Barnett had to scroll through that portion of the contract containing the forum selection clause before he accepted its terms. Therefore, he had an adequate opportunity to read and understand the forum selection clause. Parties to a written contract have the obligation to read what they sign; and, absent actual or constructive fraud, not shown to be present here, they are not excused from the consequences attendant upon a failure to read the contract. G-W-L, Inc. v. Robichaux, 643 S.W.2d 392 (Tex.1982). The same rule applies to contracts which appear in an electronic format. See Cadapult Graphic Systems, Inc. v. Tektronix, Inc., 98 F.Supp.2d 560 (D.N.J.2000). It was Barnett’s responsibility to read the electronically-presented contract, and he cannot complain if he did not do so.

We also disagree with Barnett’s claim that the forum selection clause was placed in the registration agreement only to discourage legitimate legal claims. Even though NSI does not have the burden on this issue, the record reveals that there were legitimate reasons for including the forum selection clause in the contract. NSI has received more than 6,000,-000 registration applications from throughout the world. Without a forum selection provision, NSI could be sued in forums throughout the world. Furthermore, because NSI charged only $35 per registration, the forum selection clause was a reasonable way to keep the price of the service low and to eliminate uncertainties. See Carnival Cruise Lines, Inc. v. Shute, supra; Bremen v. Zapata Off-Shore Co., supra. In addition, Virginia is NSI’s principal place of business. See Carnival Cruise Lines, Inc. v. Shute, supra; Bremen v. Zapata Off-Shore Co., supra; Eisaman v. Cinema Grill Systems, Inc., 87 F.Supp.2d 446 (D.Md.1999).

Furthermore, Barnett claims that he was not able to reject the agreement with impunity because NSI is a monopoly and that, therefore, the parties were in an unequal bargaining position. It is the unfair use of, not the mere existence of, an unequal bargaining power that undermines a contract. Hodes v. S.N.C. Achille Lauro ed Altri-Gestione, 858 F.2d 905 (3d Cir.1988). Here, there has been no showing of any unfair use of a superior bargaining position by NSI. To the contrary, as stated above, the record shows that there were a number of legitimate reasons for including the forum selection clause in the contract. Assuming that NSI was a monopoly, that fact alone does not mean that the forum selection clause was not enforceable. There must be some showing of fraud, overreaching, deception, substantive unfairness, or some other unfair use of the status; and there is no such showing in this record. See Hodes v. S.N.C. Achille Lauro ed Altri-Gestione, supra.

Barnett claims that he is not subject to Virginia law but that NSI is subject to Texas law. We disagree. Barnett is subject to Virginia law, and whether NSI is subject to Texas law is not at issue. Enforcement of a valid forum selection clause does not offend due process. Carnival Cruise Lines, Inc. v. Shute, supra; Abacan Technical Services Limited v. Global Marine International Services Corporation, 994 S.W.2d 839 (Tex.App.-Houston [1st Dist.] 1999, no pet’n). When a party contractually consents to the jurisdiction of a particular state, that state has jurisdiction over the party if that state will enforce the type of forum selection clause signed by the party. Greenwood v. Tillamook Country Smoker, Inc., 857 S.W.2d 654 (Tex.App.-Houston [1st Dist.] 1993, no writ). Virginia does enforce forum selection clauses. Paul Business Systems, Inc. v. Canon U.S.A., Inc., supra.

Finally, Barnett urges that NSI is prohibited from relying on the fo[*205] rum selection clause because it breached the contract by failing to provide some of the domain names which he had requested. We disagree. Barnett’s claims arise from the contract and are, therefore, within the scope of the forum selection clause. Graves v. Pikulski, 115 F.Supp.2d 931 (S.D.Ill.2000). When there is a breach of contract, the parties must comply with the forum selection clause before dealing with the underlying claims. Afram Carriers, Inc. v. Moeykens, 145 F.3d 298, 302 (5th Cir.1998).

The trial court did not abuse its discretion when it enforced the forum selection clause and dismissed Barnett’s lawsuit. The sole issue on appeal is overruled.

The judgment of the trial court is affirmed.

1

. For a general discussion of the Internet Domain Name System, see Name.Space, Inc. v. Network Solutions, Inc., 202 F.3d 573, 576 (2d Cir.2000).