Updated 11/6/19: We have confirmation from Apple and from customers that this is now resolved.
Updated 11/1/19: We are continuing to work closely with Apple to resolve the issue. If you have an open ticket with Apple, please direct message us so that we can provide you the bug number to reference for this issue.
There’s a known issue we’ve heard from a few customers and also seen documented by other MDM providers. Apple has also been notified, but no word on their resolution. In iOS 12.2 and higher, for MDM-managed devices using user-licensed VPP apps, end users will not be able to accept or cancel Terms and Conditions when accessing a VPP app for the first time. As such, app installations that require terms and conditions may fail, as they don’t appropriately get an accept or cancel response from the user on the device.
As a workaround, you can use device licensing when deploying VPP apps instead of a user license. Device licenses do not require terms and conditions. Alternatively, you can provide terms and conditions through a different channel than delivered with the app. You can switch from user-based apps to device-based apps through the guidance here: https://docs.microsoft.com/intune/vpp-apps-ios.