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Events.com is a website owned and operated by Events Inc., a Delaware corporation with a head office in Delaware, USA. Events.com is a directory and

Events.com is a website owned and operated by Events Inc., a Delaware corporation with a head office in Delaware, USA. Events.com is a directory and search engine for the special events industry in North-America. Users searching for service providers for a special event can search Events.com for service providers, such as venues, caterers, entertainers and photographers. In addition, Events.com also sells custom event merchandise to the users of its website.

Tammy is an Ontario resident. She is using Events.com's website to plan her 30thbirthday party. Tammy has placed an online order from Events.com for the purchase of 50 mugs with her name printed on them, which she plans to give to her guests as party-favours. She pays Events Inc. $250 for the mugs. Unfortunately, the mugs arrive damaged. Tammy contacts Events Inc. and asks for a refund, but Events Inc. refuses to refund the payment. Events Inc. advises Tammy that, according to it Terms and Conditions of Service ("T&Cs"), Events Inc. is not liable for any damage to items sold through its website. Events points out that these T&Cs are posted on its website.

Tammy did not read the T&Cs before she purchased the mugs. Now that Events Inc. is refusing to refund her money, she goes to the website to find the T&Cs. The T&Cs are located on a webpage called "Legal Stuff", which is difficult to find on the website. At the top of its webpage it states in bold lettering "BY ACCESSING AND/OR USING EVENTS.COM WEBSITE, YOU HEREBY EXPRESSLY AGREE TO THE FOLLOWING TERMS AND CONDITIONS", followed by 30 clauses containing various legal terms. In one of those terms, Tammy finds a clause that states that Events Inc. is not liable for any damaged goods it sells to its users. Tammy also finds an arbitration clause, which states that any legal disputes that a customer has with Events Inc. must be brought to arbitration in Delaware, USA.

Tammy threatens to sue Events Inc. for the damaged mugs before an Ontario Small Claims Court. In response, Events' lawyers inform Tammy that she must bring her legal dispute with Events Inc. to arbitration in Delaware, because of the arbitration clause in the T&Cs.

A. True or False - Tammy is not required to bring her dispute with Events Inc. to arbitration in Delaware (1 point)

B. Explain your answer to questions "A" by applying the law to the facts of this case and by referencing the relevant sources

C. Regardless of your answers to questions "A" & "B", is the clause in the T&Cs that waives liability for any damaged goods enforceable in this case? Explain your answer by applying the law to the facts of this case and by referencing the relevant sources

D. Assume that Tammy worked as an Event Planner and she had purchased the 50 mugs from Events Inc. for the purpose of marketing and advertising her business (i.e., not as party-favours for her guests). Would your answer to question "C" change? Explain your answer by applying the law to the facts of this case and by referencing the relevant sources

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