What is Terms of Service Drafting?
Terms of Service (ToS) is a legal agreement you might need to draft if you are providing an online service. It’s signed by the owner of an online service and its users, covering topics such as payment refunds, liability, and rules users need to follow.
There are various times when you should consider drafting a ToS agreement, such as if you run a website, subscription service, or offer other types of digital services.
Read the rest of this article to explore what key terms are usually included in Terms of Service, how to draft the document accurately, and how a lawyer can help you with the Terms of Service drafting process.
What Should Be Included in Terms of Service?
The Terms of Service document should include the following terms:
- Description of services. This section outlines all the services offered by the platform, such as features and functions.
- User duties. These are the obligations users have, such as setting up an account and not engaging in prohibited activities.
- Pricing and payment. These terms minimize disputes by clarifying all aspects of payment for the service.
- Data privacy. Whenever data is collected, there should be measures outlined for how it will be securely stored and handled.
- Termination. Conditions for how parties can end the agreement earlier than its end date should be included, as well as notice periods and termination consequences.
- Dispute resolution. This should be standard to prevent disputes. It mentions what dispute-resolution method will be used to settle disagreements, such as mediation or arbitration.
- Limitation of liability. The company will want to reduce their responsibility for certain losses or damages as a result of people using their services.
What are Tips for Drafting the Terms of Service?
Although a Terms of Service document might seem simple, there are additional things to include in it so that you protect your rights and avoid legal disputes.
Start with an Introduction
Your ToS should include an introduction, which is a statement that explains what the terms will cover and how users can confirm that they accept them.
The introduction can also specify how you’ll inform users of any modifications to the ToS and how they can state their acceptance of them.
Include Definitions
A glossary of key terms that appear in the document is a good way to avoid potential misunderstandings between parties. It should be comprehensive and written simply so that it’s easy to understand, especially if some terms are industry-specific or not known by many users.
Clarify Service Details
The section of services provided should include details so that users know what to expect. Besides listing all provided services, any limitations or requirements should be included. For example, geographic restrictions that apply and technical requirements for using the service.
Be Detailed About Payment
The payment section of the agreement should do more than just mention payment amounts. It should include payment methods, billing cycles, tax considerations, and refund policies.
Include Your Privacy Notice
To provide clarity on how your company handles privacy concerns, you should specify its data collection and usage policies. Your ToS should also reference your privacy notice for transparency.
Explain User Guidelines
The agreement should include allowed and prohibited activities for users, as well as consequences for violating the guidelines. These can include account termination.
Be Reasonable and Fair
Never include terms and clauses that are heavily one-sided or solely protect your interests. If your ToS is too harsh or restrictive on users, it could be seen as legally unenforceable in court.
Add a Severability Clause
Terms of Service agreements can be lengthy and filled with many important legal details, so it can help you to include a severability clause. This means that if one rule in the agreement isn’t legally enforceable, the rest of the agreement is still considered legally binding.
Why Should You Hire a Lawyer for Terms of Service Drafting?
You should hire a lawyer to help you with Terms of Service drafting because they have in-depth knowledge of all laws and rules that apply to the document and your situation. Here’s a rundown of some tasks they’ll complete:
- Defining how users can access and use the platform for legal clarity.
- Allocating risk appropriately, such as by including a limitation of liability clause.
- Checking that all Terms of Service clauses are compliant with relevant laws and regulations.
- Drafting clear user duties so that there’s no confusion regarding obligations.
- Structuring dispute-resolution and governing law clauses to handle disagreements effectively.
- Aligning the Terms of Service with your business model so that it can be updated in future.
Where to Find a Lawyer to Draft Clear and Legal Terms of Service
Finding a lawyer can be an easy process if you make use of an online legal platform such as ContractsCounsel. This is one of the largest online legal marketplaces that gives clients access to a curated network of vetted lawyers who have experience in drafting various contracts and documents.
Here is how to request that a lawyer draft your Terms of Service agreement.
1. Go to the ContractsCounsel marketplace, where you can post your project for free.
2. Include some details of your project, such as why you need a ToS drafted, so you can match with the right lawyer.
3. You’ll receive multiple bids from lawyers directly on the platform who can assist you.
4. Once you receive the lawyer bids, you should review the lawyers' profiles. There’s lots of info on the platform to help you choose the best lawyer, such as their location, client ratings, years of experience, and field of expertise.
5. Connect with a lawyer you think is best suited to your requirements and hire them.
