These legal agreements are incredibly valuable for both you and your customers, because not only do they inform people about everything that they are agreeing to when they start using your services, but they also protect your company against legal claims.
What exactly is meant by â€œpersonal informationâ€? Personal information includes your usersâ€™ names, addresses, email addresses, IP addresses, date of birth and credit card information â€“ anything by which your users can be identified.
Therefore, the main purpose of this legal document is protecting your company against any kind of legal liability. Even if you donâ€™t collect any kind of information, your users need to know that, because you certainly want them to feel safe when using any of your services. It will help you build trust with them and inspire their loyalty.
What are terms and conditions?
Therefore, in order for people to use your website or mobile app, you need to clearly state what they need to do if they want to use them, as well as what you will do in case of some violations of the rules that you lay out in the agreement.
Your terms and conditions agreement should include your copyright policy, your billing policy, subscription policy (especially important for SaaS companies), returns policy, (for ecommerce businesses), potential warranties on your services, potential modifications of your services, and how exactly your users may use your website or mobile app.
This agreement should also include what will happen if a user doesnâ€™t abide by your rules and guidelines and if they abuse your website or mobile app. For instance, they may be requested to pay a fine, or they may be temporarily or permanently banned from using your services.
You should also make sure that your terms and conditions agreement includes a disclaimer notice that will limit your companyâ€™s liability. This means stating that you will not be held responsible if someone finds some kind of information on your website or mobile app to be incorrect.
Although this agreement is not required by law, it is highly recommended that you have it, precisely because of limiting your liability, as well as for protecting your company against any potential abuses of your website or mobile app, such as copyright infringement, for instance.
It is very important to protect your intellectual property, such as your logo, your unique web or mobile app design and your content (unless the content is user-generated), which is yet another reason for having a terms and conditions agreement.
Therefore, you should make sure that you include the Intellectual Property clause in your terms and conditions. Also, you should include the Governing Law clause to show that your terms and conditions are governed by the law of the country that you operate in.
Apart from limiting liability and protecting your business against any kind of abuse, this legal document also enables you to build credibility and trust with your users. You inform them of their rights and responsibilities towards your company, as well as yours towards them, which shows that you are a professional who is trustworthy.
Single agreement or separate agreements?
Keeping your legal agreements separate also lets your users know that each of the documents has a completely different purpose. It also helps them comprehend and retain all of the information easier, but you need to make sure that the agreements are clear, concise and written in plain language that your users will be able to understand, because not everyone will understand various legal and technical terms.
Moreover, you will effectively protect your business against any potential legal claims by your website visitors or mobile app users and make sure that it stays on the right road to success. Therefore, make sure that you properly and carefully draft these legal documents and that you make them clearly available and easily accessible by your users.