If you have a dispute with Grubhub, you must resolve it through private arbitration rather than by suing the company in court, with limited exceptions for intellectual property claims.
This analysis describes what Grubhub's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
Arbitration is a private process that typically favors the stronger party and limits your ability to appeal decisions; once you are bound, you cannot take Grubhub to court over most issues.
This provision removes the right to file a lawsuit in court against Grubhub for disputes about your account, orders, or service, and substitutes a private arbitration process over which you have less procedural control.
How other platforms handle this
YOU AND UNITY AGREE THAT ANY DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF OR RELATING TO THESE TERMS OR THE BREACH, TERMINATION, ENFORCEMENT, INTERPRETATION OR VALIDITY THEREOF OR THE USE OF THE SERVICES (COLLECTIVELY, "DISPUTES") WILL BE SETTLED BY BINDING ARBITRATION, EXCEPT THAT EACH PARTY RETAIN...
PLEASE READ THIS SECTION CAREFULLY. IT AFFECTS YOUR LEGAL RIGHTS. IT PROVIDES FOR RESOLUTION OF MOST DISPUTES THROUGH INDIVIDUAL ARBITRATION INSTEAD OF COURT TRIALS AND CLASS ACTIONS. YOU HAVE A RIGHT TO OPT OUT OF THIS ARBITRATION AGREEMENT, AS DESCRIBED BELOW. By agreeing to these Terms, you agree...
You and OpenAI agree to resolve any claims arising out of or relating to these Terms or our Services through final and binding arbitration, except that you may bring claims in small claims court if they qualify. You may opt out of arbitration within 30 days of agreeing to these Terms by writing to u...
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"You and Grubhub agree that any dispute, claim or controversy arising out of or relating to these Terms or the breach, termination, enforcement, interpretation or validity thereof or to the use of the Services (collectively, "Disputes") will be settled by binding arbitration, except that each party retains the right to seek injunctive or other equitable relief in a court of competent jurisdiction to prevent the actual or threatened infringement, misappropriation or violation of a party's copyrights, trademarks, trade secrets, patents, or other intellectual property rights.— Excerpt from Grubhub's Grubhub Terms of Use
REGULATORY LANDSCAPE: The Federal Arbitration Act generally supports enforcement of pre-dispute arbitration clauses in consumer contracts, though the FTC and state attorneys general have increasingly scrutinized such provisions. California courts have developed exceptions for public injunctive relief claims under the Broughton-Cruz doctrine, and the provision's enforceability may vary by jurisdiction. GOVERNANCE EXPOSURE: High. Mandatory pre-dispute arbitration in consumer contracts is a high-profile regulatory target, with the CFPB having previously attempted rulemaking to restrict such clauses in consumer financial services and the FTC signaling increased scrutiny of dispute resolution practices that limit consumer access to courts. JURISDICTION FLAGS: California consumers may retain the right to seek public injunctive relief in court notwithstanding this clause under McGill v. Citibank. New Jersey, Washington, and other states have enacted or proposed limitations on consumer arbitration clauses. EU users would not be subject to this clause under applicable EU law. CONTRACT AND VENDOR IMPLICATIONS: B2B partners and merchants contracting with Grubhub should assess whether this arbitration clause applies to their relationship as well, or whether a separate commercial agreement governs. The clause shifts dispute resolution costs and procedural dynamics in ways that may affect indemnification and liability allocation in partner contracts. COMPLIANCE CONSIDERATIONS: Compliance teams should verify that the opt-out mechanism is operationally functional, clearly disclosed at account creation, and that records of opt-out elections are maintained. The notice adequacy of the 30-day window should be reviewed given regulatory and judicial scrutiny of consumer arbitration notice practices.
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Coinbase's User Agreement includes a mandatory arbitration clause that most users may not have reviewed. Here is what the clause states and how the opt-out process works.
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Arbitration is a private process that typically favors the stronger party and limits your ability to appeal decisions; once you are bound, you cannot take Grubhub to court over most issues.
This provision removes the right to file a lawsuit in court against Grubhub for disputes about your account, orders, or service, and substitutes a private arbitration process over which you have less procedural control.
ConductAtlas has identified this type of provision across 28 platforms. See the full comparison.
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