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Catholic sites and blogs may rely on agreements to purchase web hosting, hire freelance writers, or post terms of service. Getting the contracts done online will save time and trouble, but the convenience can be as much a curse as a blessing if not approached with care. A good example is a recent ruling by the Tennessee Supreme Court finding that an exchange of emails can create a binding agreement.

Forty-seven states have adopted the Uniform Electronic Transactions Act. The other states, Illinois, New York and Washington, are bound by the federal version known as the E-Sign Act. Both laws acknowledge agreements in electronic form are just as enforceable as agreements signed on paper. The following principles apply:

- The parties must agree to transact electronically.

- The parties must be able to keep and print a copy of the electronic agreement.

- The contract can be “signed” electronically busing any electronic sound, symbol, or process that is logically associated with an electronic contract.

- Something as simple as clicking “I Agree” or relying on a more elaborate digital signature process.

- The party “signing” the electronic agreement must express some intent to “sign” the agreement. For example, a statement such as “by clicking ‘I accept,’ you agree to the terms that will result in an enforceable contract, just as if you had signed your name to an agreement on paper.”

Be careful when you negotiate deals online; even an exchange of emails can create a binding contract. A fascinating example is the story of a feuding niece and aunt in which the Tennessee Supreme Court enforced a settlement accomplished by an exchange of emails.

In Waddle v. Elrod, octogenarian Earline Waddle and her niece, Lorene Elrod quarreled over rights to four acres of land in Tennessee.  The day before their dispute went to trial, the attorneys for warring family members exchanged emails to settle the dispute.  Ms. Waddle’s attorney sent the following email to Ms. Elrod’s attorney:

Greg,

This confirms that we have settled this case on the following terms:

Elrod deeds property interest back to Waddle, Both [sic] parties sign full release, Waddle bears no court costs. Let me know if I have correctly stated our agreement.

Thanks,

Mary Beth

Ms. Elrod’s attorney replied:

That is the agreement. I understand that you will draft the deed and take a shot at the court’s order. No admission of guilt is to be included.

Greg Reed

Three weeks later, Ms. Elrod told her attorney that she changed her mind. She no longer wanted to settle the case. Ms. Waddle then sought to enforce the settlement in court.  Ms. Elrod argued there was no binding agreement, but the Tennessee Supreme Court disagreed. “The UETA, recognizing that all sorts of transactions are now routinely conducted by electronic means on a daily basis, obviates the need for a handwritten signature,” the court added. “The parties, through their attorneys, evidenced an intent to finalize the settlement by electronic means; thus, the UETA applies,” the court concluded.

Make sure that each party is clear when it intends to agree to terms of a contract. Extra caution is needed when negotiating by email. Any declaration that an offer is accepted could create a binding agreement.

At least 90 percent of adult consumers worry about their online privacy, according to a new survey by Harris Interactive, conducted on behalf of TRUSTe. TRUSTe offers privacy management solutions and oversees privacy compliance with more than 5,000 web sites. The survey emphasizes that Catholics who provide blogs, articles and other content through new media should be mindful of protecting their users’ privacy. It has ethical as well as legal implications.

TRUSTe/Harris survey shows consumer concern over privacy (Courtesy TRUSTe).

In the TRUSTe/Harris survey, 41 percent of those surveyed do not trust businesses with their personal information, and more than 88 percent of the consumerssaid they avoid companies that do not protect their privacy.The study, in a chart format, can be reviewed here. TRUSTe further released a report on April 2, 2012 showing that only one in three of the top 50 Android  and Apple mobile applications had a privacy policy. The study also showed that 72 percent of the top Apple mobile applications collected unique identifiers from users’ devices.

“App developers have a responsibility to provide consumers with mobile-appropriate privacy disclosures around the collection and use of their personal data and to offer consumers meaningful choice, especially around sensitive collections of their data for targeting or profile-building activities,” John Gamble, TRUSTe’s Marketing Manager, commented in his blog.

One way to boost revenue for a Catholic blog may be to supplement editorial content with paid content — such as advertorials, sponsored reviews, or endorsements. But bloggers who takes this path may find trouble unless they’re clear distinguish editorial content from paid content.

Two years ago, the Federal Trade Commission issued new guidelines to crack down on websites, especially blogs, that appeared as legitimate editorial outlets reviewing products but concealed the fact that the reviews were paid for by advertisers or merchants. Continue Reading