ProCD, Inc. v. Zeidenberg, 86 F.3d 1447 (7th Cir., 1996), was a court ruling at the United States Court of Appeals for the Seventh Circuit. The case is a significant precedent on the matter of the applicability of American contract law to new types of shrinkwrap licenses that arose with home computing and the Internet in the 1990s, and whether such licenses are enforceable contracts. Background In the mid-1990s, Matthew Zeidenberg purchased a telephone directory database, SelectPhone, on a CD-ROM produced and sold by the company ProCD. That company had compiled information from over 3,000 local telephone directories, at a cost of more than $10 million, and sold the results to marketers and other interested persons. To recoup its costs, ProCD discriminated based on price by charging commercial users a higher price than it did to everyday, non-commercial users. Zeidenberg started his own business called Silken Mountain Web Service in which he intended to sell categorized lists of phone numbers to marketers, and planned to copy phone numbers from the database that had been compiled by ProCD and sold via the SelectPhone package. Zeidenberg purchased a non-commercial copy of SelectPhone from a retail store. After opening the packaging and installing the software on his personal computer, Zeidenberg created a website and offered the information originally on the CD-ROM to his own customers for a fee that was less than what ProCD charged its commercial customers. The CD-ROM package purchased by Zeidenberg included an external notice (within the shrink wrap that covered the box) that a license was enclosed within the package. Upon installing the software, he was presented with a notice on his computer screen describing the license agreement, which in turn required clicking a field to show consent. This in turn is known as a clickwrap license. Another version of the license was available as a file on the CD-ROM. ProCD filed suit against Zeidenberg for contract law violations, because the license included in the SelectPhone package forbade copying of the contents; ProCD argued that the shrinkwrap license was an enforceable contract. The case was first heard at the United States District Court for the Western District of Wisconsin. District court proceedings ProCD argued at the district court that Zeidenberg violated its license by copying and reselling the contents of its SelectPhone CD-ROM. Zeidenberg argued that the shrinkwrap license was not a valid contract that could be enforced, because