Ipad3 will not let me accept terms and conditions after software update

I downloaded the new software and had forgotten my password so had to ask for it.Now when I turn on my ipad it goes to the terms and conditions page but will not let me accept them and has a screen behind that  that says create a password but I cannot get to that without accepting terms and conditions!!!! My Ipad is a brick! Help please!

It had not turned off all the way....now that it has been off ALL the way and turned back on after a minute it let me pass.

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