Catching Up on X’s TOS Formation Cases

Checking in on X’s TOS formation after its embarrassing TOS formation loss in the Skaggs case. If you don’t recall that opinion, maybe start with that post? Rose v. SpaceXAI LLC, 2026 WL 3169664 (N.D. Cal. Oct. 22, 2026) Some consumers claim X employs ““deceptive and illegal ‘automatic renewal’ tactics to trick consumers” into signing up for “unwanted, pricey subscriptions” to xAI’s SuperGrok chatbot.” (As I observed, anyone paying to use Grok may be opting-into caveat emptor territory). X invoked the arbitration clause in its TOS. The court denies arbitration. The court calls this screen a sign-in-wrap: The court says the TOS offer isn’t reasonably conspicuous. Transaction Context Rose created a free Grok account in March 2025 through xAI’s sign-up page that invited users to “Create your account.” Rose created an account by clicking a button below the “Create your account” message that said, “Sign up with email.” Rose does not dispute that this sign-up process for a free account,…

Commenting on Bubbles has been removed. Why? If you want to talk about this post, write to the author, use the comments on their blog if it has them, or reply with a "RE:" post on your own blog. Suggestions? feedback@bubbles.town