Question 1

What are terms of service?

Accepted Answer

Terms of service (also called terms of use or terms and conditions) are a legal agreement between a website or app operator and its users. They define the rules users must follow, the rights of the operator, liability limitations, and what happens if either party breaches the agreement.

Question 2

Are terms of service legally required?

Accepted Answer

While not always legally required, terms of service are strongly recommended for any website or app. They protect your business by limiting liability, establishing intellectual property rights, and providing a legal framework for resolving disputes with users.

Question 3

What should terms of service include?

Accepted Answer

Key sections include: acceptance of terms, description of service, user accounts and responsibilities, acceptable use policy, intellectual property rights, privacy policy reference, limitation of liability, disclaimer of warranties, termination conditions, dispute resolution, governing law, and contact information.

Question 4

What is the difference between terms of service and a privacy policy?

Accepted Answer

Terms of service govern the overall relationship between you and your users, covering rules of use, liability, and disputes. A privacy policy specifically addresses how you collect, use, store, and protect personal data. Most websites need both documents, and the ToS should reference the privacy policy.

Question 5

Can I change my terms of service after publishing?

Accepted Answer

Yes, you can update your terms of service, but you must notify users of material changes. Common notification methods include email notices, website banners, or requiring users to re-accept the updated terms. Include a 'Last Updated' date and consider maintaining a changelog.

Question 6

How do users agree to my terms of service?

Accepted Answer

There are two main approaches: 'clickwrap' (users must actively click 'I agree' checkbox) and 'browsewrap' (terms are available via a link, and use of the site implies acceptance). Clickwrap agreements are much more legally enforceable. Always use clickwrap for paid services or account creation.

Question 7

Do I need a lawyer to create terms of service?

Accepted Answer

While you can create basic terms of service using a template, consulting a lawyer is recommended for complex services, SaaS platforms, or businesses handling sensitive data. A lawyer can customize the terms to your specific needs and ensure compliance with applicable laws like GDPR, CCPA, and CAN-SPAM.

Question 8

What is a limitation of liability clause?

Accepted Answer

A limitation of liability clause caps the maximum amount of damages a user can claim against you. It typically limits liability to the amount the user paid for the service and excludes consequential, incidental, or punitive damages. This is one of the most important protective clauses in your ToS.

Question 9

Can users be banned for violating terms of service?

Accepted Answer

Yes. Your terms of service should include a termination clause that gives you the right to suspend or terminate user accounts for violations. Be specific about what constitutes a violation, the warning process, and whether refunds apply to paid accounts that are terminated.

Question 10

Can this document be signed electronically?

Accepted Answer

In many jurisdictions, electronic signatures are legally valid for this type of document. However, some documents may require wet-ink signatures depending on local laws.

Related Documents

Privacy Policy

SaaS Agreement

Frequently Asked Questions