What is the Terms of Use and what needs to be included?

What is the difference between "Terms and Conditions" and "Terms of Use"? 🤔

Basically the same thing.

The phrases "Terms and Conditions," "Terms of Use" or "Terms of Service" usually refer to the same thing and are used interchangeably.

💡 Terms of use is the most important legal document for your business. It spells out the rules between your business and customers.

You can make the important business rules BINDING on your customers with Terms of use:

Restricted behaviors

Copyright / Intellectual property licensing

Limitation of liability

Disclaimers

Refund policy

Termination or restriction of service

Dispute resolution

Etc.

To have a good Terms of use for your business in place is like having insurance - giving you peace of mind.

Can you just copy and paste the Terms of use? 🤔

Hell NO 😨

it is illegal to copy other's terms of use.

They are protected by copyright, so copying another website's terms of use puts your business at risk of legal penalties.

Not to mention that each business is different - if you don't allow refund but the Terms that you copied allow refund, you would be screwed!

This week, I’m helping an Ecom business to draft a refund / compensation policy.

Having a refund / compensation policy is very important for Ecom business because it gives customers more confidence to purchase.

Refund policy can be part of terms of use.

Usually the Ecom business would have insurance in place for lost goods or damaged goods, and they would provide the insurance policy for my review in drafting the refund / compensation policy so that whatever they can claim from insurance, they can give to the customers (i.e. no extra liability on the Ecom business part).

Here's what needs to be included in the refund / compensation policy:

- Goods covered / not covered

- Limitation of Liability

- Warranties

- Protection Promises

- Compensation cap

- Any excluded circumstances

- Claims procedure

- Claim form

Join the waitlist to get your business legal sorted: https://shorturl.at/ampL1

P.S. This is not legal advice, just information

This content is copyrighted materials - 2024 Legalworks, all rights reserved