Most recently, however, pizza chain Domino's has been brought under suit for their website not being accessible for specialty ordering. The U.S. Supreme Court refused to review the case, instead upholding the decision of the 9th U.S. Circuit Court of Appeals who said the “alleged inaccessibility of Domino’s website and app impedes access to the goods and services of its physical pizza franchises—which are places of public accommodation.”
On July 26, 2010 (on the anniversary of the Americans with Disabilities Act) President Obama stated that ADA accessibility must also apply to the Internet. With that declaration, the Justice Department was tasked with setting rules for ADA accessibility for the Internet and websites. Since that time, the Justice Department has formulated recommended rules for ADA website accessibility. Those rules will soon be refined and officially released in the near future. Until then, there is a set of guidelines currently in place (http://www.w3.org/WAI/WCAG20/quickref) for websites to become ADA accessible. Even with these guidelines in place, many hospitality businesses have not yet complied with the guidelines. Now is the time to begin the process of making your current website ADA accessible or to consider a new website design that is ADA accessible.

The legal issue for websites is whether website operators are operating “a place of public accommodation.” The statute lists 12 different types of public accommodations including somewhat of a catchall that includes “other sales or rental establishment.” The list, created when the law was passed in 1988, conceivably covers most commercial establishments, but does not expressly include websites.
Yes, in time non-ADA compliant websites will be penalized in the search engines. It's already on their radar. But for now they are still negatively affected, just in an indirect way. Live traffic behavior (user experience) is now factored into Google's algorithm and is a ranking signal. Negative user interactions absolutely have negative affects on rankings.

This is the reason why I think web design firms have to position themselves as solution providers and not just web guys/gals. A client doesn't need a website, they need sales. The website is just part of that solution but it's not the solution and unlike web design, service like email marketing automation, SEO, and PPC requires an experienced professional.
Ensuring your website is ADA compliant takes skill and know-how. Even with drag-and-drop and state-of-the-art web builders, knowing how to put together content, add alt-tags and compliant contrasting colors just to name a few thing, it takes someone familiar with coding, UI/UX techniques and the best practices advised by the W3C (World Wide Web Consortium) to ensure that your site meets at minimum the A Level of Conformance. Here is the W3C’s complete and exhaustive list of technical conformance guidelines.
The words in the tag should be more than a description. They should provide a text equivalent of the image. In other words, the tag should include the same meaningful information that other users obtain by looking at the image. In the example of the mayor’s picture, adding an “alt” tag with the words “Photograph of Mayor Jane Smith” provides a meaningful description.
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