Would you sign away your legal rights without even realizing it?
In today’s digital world, agreeing to terms and conditions has become as routine as clicking “Next.” But behind those tiny checkboxes often lurk binding legal clauses—clauses that could strip you of your day in court, even in cases of devastating loss. You may have heard about a wrongful death lawsuit involving Disney that has thrown this issue into the spotlight.
In 2023, NYU doctor Kanokporn Tangsuan tragically died after suffering a severe allergic reaction at a Walt Disney World restaurant. According to a wrongful death lawsuit filed by her husband, she had alerted the staff to her nut and dairy allergies, yet was still served food that contained both.
But what makes this heartbreaking story even more alarming was the legal defense Disney used to dismiss the lawsuit.
A Shocking Legal Twist: The Disney+ Defense
Rather than solely addressing the restaurant’s alleged negligence, Disney’s attorneys raised a jaw-dropping argument: they claimed the grieving husband had already agreed to resolve any disputes with Disney in private arbitration—because he had previously signed up for Disney+.
Yes, you read that right.
Buried in the terms and conditions of Disney’s streaming platform was a clause stating that subscribers waive their rights to file lawsuits and must settle any disagreements with the company through arbitration.
So what does a streaming service have to do with a fatal incident at a restaurant? According to Disney’s legal team at the time, quite a lot. Their position was that because the plaintiff had accepted Disney+’s arbitration agreement, he was barred from taking the company to court—even though the incident happened at a Disney theme park, not on the streaming platform.
The backlash was immediate. Legal analysts, consumer advocates, and the general public decried the argument as both legally aggressive and ethically questionable. The intense scrutiny eventually forced Disney to backtrack and abandon the Disney+ arbitration claim.
But the incident raises an uncomfortable truth: most of us are agreeing to similar terms without a second thought.
What’s Really Hiding in the Fine Print?
We live in a world where nearly every service—streaming platforms, ride-share apps, food delivery services—requires users to accept sprawling terms and conditions. These documents are often pages long, full of legalese, and easy to ignore. But hidden in that wall of text are clauses that:
- Limit your ability to sue in court
- Require binding arbitration, often favoring corporations
- Restrict your right to join class-action lawsuits
- Assign disputes to far-away jurisdictions
In fact, a 2019 study by Pew Research Center revealed that only 9% of adults read privacy policies before accepting terms and conditions, while 36% never do.
And yet, agreeing to them is legally binding.
Arbitration: Faster, Cheaper… But Fairer?
While arbitration is often pitched as a faster and more cost-effective alternative to litigation, critics argue it can disproportionately favor businesses. Arbitrators are typically chosen from a pool of professionals who may regularly work with corporate clients, creating the potential for bias. And arbitration rulings are final—there’s often no right to appeal.
In the Disney case, had the arbitration clause stuck, it could have drastically limited the family's legal options and public transparency in a case involving the death of a loved one.
This isn’t just a Disney issue—it’s an industry-wide trend. Major tech companies, airlines, food delivery apps, and even some healthcare providers include arbitration clauses in their user agreements.
So What Can You Do?
Let’s face it: reading every word of every agreement isn’t realistic. But here are a few steps you can take:
- Skim smartly: Use search functions (Ctrl+F) to look for key terms like “arbitration,” “waiver,” “class action,” and “jurisdiction.”
- Opt out when possible: Some platforms, like Netflix and Amazon, allow you to opt out of arbitration clauses—but you typically have to do so within 30 days of signing up.
- Use tools: Websites like Terms of Service; Didn’t Read summarize user agreements and highlight red flags.
- Be cautious with auto-renewing services: Signing up once may tie you into future updates of their terms without explicit consent.
- Don’t assume it won’t affect you: As the Disney case shows, even services that seem unrelated can become central to a legal dispute.
Final Thought: The Right to Sue Shouldn’t Be a Hidden Checkbox
Contracts are meant to be clear agreements between parties, not a scavenger hunt for your rights. And while companies are increasingly using digital fine print to insulate themselves from legal consequences, public pressure—as we saw with Disney—can still hold them accountable.
Have you ever read through a full terms-of-service document? Would you if you knew it could affect your rights in a serious situation?
