Can a free Disney+ trial be used as a waiver of rights?

Disney is attempting to shield itself from a wrongful death lawsuit by invoking the terms and conditions of a free Disney+ trial.

Wrongful death lawsuit

Jeffrey Piccolo filed a $50,000+ wrongful death lawsuit against Disney after his wife, Kanokporn Tangsuan, tragically died from a severe allergic reaction following a meal at a Disney World restaurant in Orlando, Florida. The lawsuit alleges negligence on the part of the restaurant for failing to accommodate Tangsuan’s severe allergies.

Digital contracts

Disney is counterattacking with a surprising legal maneuver. The company claims that Piccolo waived his right to sue by agreeing to the terms of service when he signed up for a free Disney+ trial in 2019, and again when he bought an Epcot ticket via app last year. The terms include a mandatory arbitration clause, meaning any disputes must be settled outside of court.

Disney wants the case in the courts to be halted, and for the dispute to be resolved out of court, in a process called arbitration. Arbitration means the dispute is overseen by a neutral third party who is not a judge. It is usually a quicker and cheaper process than a court case.

Piccolo’s legal team is outraged, calling Disney’s argument “preposterous” and “inane.” They argue that a free trial for a streaming service should not equate to a waiver of the right to sue for wrongful death. The legal team further asserts that the arbitration clause is irrelevant because the deceased never consented to its terms, her husband did.

Legal analysts are divided

Legal analysts are divided on the issue. While some believe Disney’s attempt to expand the scope of its terms of service is a stretch, others point out that the increasing prevalence of arbitration clauses in consumer contracts could give the company a stronger argument.

The case is set to go before a Florida judge in October, where the court will determine whether Disney’s legal maneuver is valid or if Piccolo has the right to pursue his case in a courtroom.