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Terms and conditions for eCommerce (and how they protect your business)

Terms and Conditions (also known as Terms of Use or Terms of Service) allow you to set the way in which your product, service or content may be used, in a legally binding way. This document governs the contractual relationship between the provider of a service and its users and is essentially a contract in which you, the owner, can clarify the conditions of use of your products or service.

Who needs Terms and Conditions?

Everyone from Bloggers to E-commerce, SaaS, and Enterprise businesses can benefit from setting Terms of Use, however, in some cases it can be mandatory. Terms and Conditions are relevant for avoiding misuse in general, but also specifically correlate to applicable law.

This brings us to E-commerce.

E-commerce Terms and Conditions

Not only are T&Cs crucial for protecting you from potential liabilities, but (especially in cases of e-commerce) they often contain legally mandated information such as users’ rights, withdrawal or cancellation disclosures.

A valid Terms of Service document is generally required whenever complex issues are at stake, such as in the case of e-commerce, where sensitive information such as payment data is processed. In these cases, the Terms & Conditions typically contains legal information related to conditions of sale and disclosures on methods of payment, shipping, delivery, withdrawals, and cancellation conditions etc. – as commonly required by consumer protection regulations.

Under most countries’ consumer laws, in addition to the default required privacy disclosures, you’ll need to inform customers of the following:

  • Returns/Refund details;
  • Warranty/ Guarantee information (where applicable);
  • Safety information, including info on proper use (where applicable);
  • Terms of delivery of product/ service;
  • Identifying information such as a legal address and business name;
  • Industry related legal disclosures;
  • Rights of consumers (such as withdrawal rights), where applicable;
  • Seller contact details (e.g. email address).

How do Terms & Conditions Protect You?

Aside from helping you to comply with the law, terms also help you with handling user-related issues when they arise and –even more importantly – aid in preventing problems in the first place. They do this by setting a legally binding agreement between you and your users, on the subject of your rules for accessing/using your service.

In regards to protecting your business in a preventative way, be sure to include things like:

  • Disclaimers & limitation of liability
  • Shipping, processing and return rules
  • Account creation & termination conditions, accepted behaviour
  • Setting your law of governance

Remember, terms are fundamental in most cases to mount an adequate and proper defence, should the need arise.

What should Terms & Conditions say?

At it’s most basic, your terms and conditions should contain:

  • Identification of the business
  • Description the service that your site/app provides
  • Information on risk allocation, liability, and disclaimers
  • Warranty/Guarantee information (where applicable)
  • The existence of a withdrawal right (if applicable)
  • Terms of delivery of product/service
  • Conditions of use/ purchase (eg. age requirements, location-based restrictions)
  • Refund policy/exchange/termination of service and related info
  • Info related to methods of payment

Terms and Conditions Generator

Our Terms and Conditions Generator lets you easily generate and manage Terms and Conditions that are professional, customizable from over 100 clauses, available in 8 languages, drafted by an international legal team, and up to date with the main international legislations. It is powerful, precise, and capable of handling even the most complex, individual scenarios and customization needs.

The solution is optimized for everything from e-commerce, blogs, and apps, to complex scenarios like marketplace and, Affiliate scenarios. Read more about it here or start generating below.

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