EBay 'Buy It Now' Button Is A Contract, Judge Tells Phoenix Woman

PHOENIX, AZ – In a warning to eBay users, a judge has ruled that the popular "Buy It Now" button is a contact. Julie Rohr in Phoenix just found that out the hard way.

The Arizona Court of Appeals ruled that when she listed her 10.17-carat diamond ring for sale for $100,000 on eBay and included a "Buy It Now" option, she was offering a contract.

eBay started testing the "Buy it Now" button in 2002 and implemented it full-time in October 2007. The company says that 88 percent of all transactions are done with "Buy it Now."

When Evangelos Armiros clicked the button, he and Rohr entered into a contract, the court said.

The dispute started later that evening.

Even though Rohr had agreed to sell the ring, she got an email from someone offering $150,000.

Even though she told him that she had already sold it, he responded by saying that he would make a deposit and his offer was "well worth canceling" the other deal.

She accepted the offer and emailed Evangelos that she could no longer sell him the ring because of the higher offer.

Evangelos then sued Rohr for breach of contract. He also named the other person who had persuaded Rohr to break the contract.

That person ended up settling with Evangelos for $60,000.

Both Evangelos and Rohr asked a judge to decide in their favor and, after hearing both sides, a trial judge ruled for Evangelos stating that by using "Buy It Now," the two sides were bound by eBay's user agreement.

In a second one-day trial, the judge ruled that Rohr had to pay $135,250 to Evangelos.

She appealed and, on Thursday, the state Court of Appeals ruled against her.

File photo via Vrencsan Szalbocs/ShutterStock.