If you’re starting a business, chances are you’ll need a website. If your website doesn’t advertise or sell products or services, then you can stop reading. Yeah, I figure you’d still be here. So, let’s discuss the basics.

In the world of website user agreements, the alphabet soup tends to stir a pot of confusion. For example, there’s COPPA, GDPR, EULA, UGC, etc. But it’s all really simple.

Basically, user agreements are like the fine print on those medicine commercials. You know the part where they cure one problem but cause you twenty other problems. The point is they are letting customers know what the risks and benefits of using their medicine.

So, the same logic applies to user agreements. It’s the fine print on a website that gives website users information about the website. This information should be placed in an obvious spot on the website, e.g., footer.

If your website collects personal information or sells products or services, then it should at least have a Terms and Conditions and Privacy Policy.

 If you want to know what is in a user agreement, keep reading.

Terms & Conditions

Is a user agreement the same as terms and conditions? Not quite. User agreement is just a broad category.

So, terms and conditions are just one of many types of user agreements. Terms and conditions aka Terms of Use set the rules for a website’s users. If a website user continues to use a website, then they’re agreeing to these rules.

Terms and Conditions should contain the following information:

• A section letting website users know if this user agreement is the entire agreement or if there are other user agreements the user must consider
• A statement about how and when it can be updated
• A section about how the website user can use the website, products, or services
• A solid disclaimer and liability clause
• If there is a disagreement, where will the disagreement be handled?
• A statement about user agreement owing damages (or money) if they misuse the website, products, and/or services
• A section regarding how to report or handle copyright violations
• If website users have an account, they must take certain security measures regarding their password and account information
• A statement regarding what type of things a user can’t post on the website or its discussion forums
• Detailed language based on that website user’s location

Privacy Policy

A privacy policy lets users know how their information will be collected, used, and/or shared. A privacy policy is legally required for all websites that collect personal information. Some types of personal information include name, address, phone number, email address, credit card information, etc.

A privacy policy should do the following:

• Tell users what personal information is collected, how it’s collected, how it will be used, and that the website will protect it.
• Include any relevant federal and state laws. For example, if the website collects medical information, then it would need to follow HIPAA (Health Insurance Portability and Accountability Act) laws.
• It should be complete but flexible enough for any future changes.
• Explain any fancy schmancy legalese (legal terms) or technical terms.
• Tell users if their personal information will be shared with third parties, e.g., advertisers
• Explain to website users how they can access their personal information and their rights to stop it from being shared.
• Give users contact information for reporting complaints regarding its privacy policy.
• Include an option for the company to change its privacy policy.
• Tell users how they can opt-in or out of their information being collected. For example, users should be allowed the option to stop receiving marketing emails.
• List the effective date (or the date the privacy policy went into effect).
• If necessary, create a section for rights that apply in certain states. For example, the CCPA (California Consumer Privacy Act) allows California users to request their personal information and get information about who it’s shared with.

No, need to get testy. We can switch to another subject—sort of. A privacy user agreement should include the following: 1) Cookies Policy; 2) GDPR Policy; 3) and COPPA.

COPPA stands for The Children’s Online Privacy Protection Act (COPPA). COPPA refers to websites that market to children under the age of 13. Even if your website doesn’t market to children, it should address how to deal with children users on your website.

Also, the GDPR (General Data Protection Regulation) focuses on the personal data of users in the EU (European Union). Even if your website doesn’t sell outside of the U.S., it should still follow EU cookie law (or international laws) because your website is open for everyone to use.

Website users should also know if the website uses cookies and explain how cookies are used.

Oh, how I wish I was referring to Oreos. But sadly, I’m not. Cookies are a type of technology that allows a website to track a user’s behavior.

The point is privacy policies are very important. Websites should follow their privacy policies. There should also be updates to the privacy policy if there any important changes in how the website collects or uses personal information.

eCommerce Website User Agreements

Everything discussed above is usually a standard user agreement. If your website sells products or services, it’s an eCommerce website. So, you’ll need a terms and conditions that is made for small businesses.

Make sure your user agreement template discusses what type of financial information is collected. Also, the website must address shipping, refunds or returns, sales tax, etc.

If you’re creating your own eCommerce website, you can use an eCommerce website checklist to make sure you’ve completed all the necessary steps.

Even if you decide to use a prebuilt website, e.g., Shopify, you should use your own user agreements. You ever heard of one size fits all? Yeah, we both know that’s a lie.

So, please avoid a generic terms and conditions generator or privacy policy generator. Your user agreement policy should be personalized and cover the needs of your business.

Subscription Agreements

If you’re creating a subscription product or service website or a social media website, then you’ll need subscription agreement. For example, you’re charging a monthly fee to access your online courses or a private community with discussion forums.

Before a customer subscribes to your website, you should let them know how they can use your website, how long can they can access your subscription products or services, and what they can legally do with your products or services.

If the website doesn’t have any social media or discussion forums, a master subscription agreement is sufficient. You can make the subscription agreement a browsewrap agreement or clickwrap agreement.

Clickwrap requires that a website user has to agree to an agreement by checking a box or clicking a button, e.g., “I accept.” Browsewrap is usually posted as a hyperlink on the website’s home page. So, users don’t have to do anything for browsewrap agreements.

Using the wise words of “Sweet Brown,”…

Well, even if your users don’t read it, they are still required to follow all of your rules. So, regardless of which method you use, just don’t bury this agreement on your website. Again, it has to be in an obvious place.

If your website uses discussion forums, you should use a UGC subscription agreement. UGC is content (text, images, video, audio) posted by users on a website or a platform. For example, your website charges access to a private community where your users upload the content, e.g., Match.com, Discord, etc.

Nothing in life is guaranteed except taxes…you know the rest. But you can help put up an invisible shield between you and your users.

It’s telling the world I have nothing to do with that website user’s posts or opinions. Again, you can’t guarantee that using a UGC subscription agreement will totally eliminate your legal responsibility.

However, you want to make your company legit as possible. That means posting notices on the website that users shouldn’t do or say certain things on your website. It helps you cover your ass(ets) in case a website user causes you legal troubles.

So, a website with discussion forums should also have an acceptable use policy and community guidelines. Community Guidelines are the rules you set for your online community so that the users act on their best behavior. An Acceptable Use Policy is the set of rules a user must follow when accessing your website.

User Agreement Template FAQs

Can I use a privacy policy template?

Absolutely. You should start with a privacy policy template that is tailored to your business. Then, you can customize your template to fit your business needs.

Can I write my own privacy policy?

Um, no. Unless, you’re a lawyer—I don’t think you’d be reading this if you were—please don’t write your own privacy policy.

Can I copy and paste a privacy policy?

That’s like getting plastic surgery from a gynecologist. No doctor can handle every type of medical issue, which is why doctors have specialties.

So, you shouldn’t just slap any old privacy policy onto your website that you copied from another website. How do you know if it will have everything you need? You don’t want to find out when you’re in a dispute with a website user.

There are plenty of choices for privacy policy templates. You don’t have to purchase any of our agreements. But please don’t copy and paste it from someone else’s website.

Can you copy and paste terms and conditions?

No, for the same reasons listed in the above answer.