A to Z of Legal Issues (Part 2, U to Z)
User Agreement
Having a user agreement or "terms and conditions" may be the most important part of a website. A user agreement requires each user to agree to be bound by a contract governing his or her use of the site by clicking "I agree" before being permitted to use the site. Be aware that simply posting your legal agreement without forcing the user to click "I agree" prior to use is unlikely to bind your users to the terms. The user must take an active step through which she agrees to the terms and must not be allowed to proceed to use the site without such step.
A user agreement allows a company to:
1. dictate how the site may be used (for example, for reading and printing materials)
2. dictate how the site may not be used (for example, reverse engineering the coding tricks, copying content, for illegal purposes)
3. dictate who may use the site (for example, persons over 18, US citizens)
4. dictate procedures or policies for the site (for example, return policies, complaint policies, notification of copyright infringement policies)
5. dictate your company's waiver of implied legal warranties (for example, implied warranties of noninfringement, fitness for particular purposes, etc.)
6. dictate the limit of your company's liability for the site, other users postings on your site, sites you link to, etc.
7. dictate jurisdiction for any disputes relating to the site
View Source
The ability for users to view the source code of nearly all websites by using the "view source" command in browsers means that the source code for your website is not protectable by trade secret law. For something to be protected by trade secret law, it must not be publicly known, the owner must take some effort to keep the information secret, and the information must have monetary value to the owner. If the information is publicly available on the web through "view source," the information is not a trade secret.
Warranties
Statements on your website about your products and services are express warranties to customers. It is important to carefully review all website text to be sure that what your company promises is true and corresponds with its other policies and advertising.
When you review, look for statements that are absolute statements which may be hard to prove or verify if the Federal Trade Commission were to request that you do so. Examples of such statements are: "Our printer works with all software," "Our services are the best," and "We guarantee that our product will always perform perfectly." Also, be aware that the FTC has specific guidelines that should be followed for use of the words "free" and "guarantee" in advertising or on your website.
Also, review your website to be sure that the text matches your regular business contracts. For example, your website should not promise a 60-day money-back guarantee if your contract states only a 30-day warranty.
XXX
If your site contains adult materials, be sure to consult your attorney regarding special legal requirements regarding notice prior to entering the site, notice requirements under federal regulations and other laws applicable to the adult entertainment industry.
Your Risk
The law is all about risk. The more time and money you spend following laws and regulations governing your business, the lower your risks of fines or successful claims by government or third parties.
Zero
The amount your company may have left after ignoring all the laws, regulations and risks.
Sincerely,
Scott Richard Adams, CEO
e-Marketing Company
www.e-marketingcompany.com
Having a user agreement or "terms and conditions" may be the most important part of a website. A user agreement requires each user to agree to be bound by a contract governing his or her use of the site by clicking "I agree" before being permitted to use the site. Be aware that simply posting your legal agreement without forcing the user to click "I agree" prior to use is unlikely to bind your users to the terms. The user must take an active step through which she agrees to the terms and must not be allowed to proceed to use the site without such step.
A user agreement allows a company to:
1. dictate how the site may be used (for example, for reading and printing materials)
2. dictate how the site may not be used (for example, reverse engineering the coding tricks, copying content, for illegal purposes)
3. dictate who may use the site (for example, persons over 18, US citizens)
4. dictate procedures or policies for the site (for example, return policies, complaint policies, notification of copyright infringement policies)
5. dictate your company's waiver of implied legal warranties (for example, implied warranties of noninfringement, fitness for particular purposes, etc.)
6. dictate the limit of your company's liability for the site, other users postings on your site, sites you link to, etc.
7. dictate jurisdiction for any disputes relating to the site
View Source
The ability for users to view the source code of nearly all websites by using the "view source" command in browsers means that the source code for your website is not protectable by trade secret law. For something to be protected by trade secret law, it must not be publicly known, the owner must take some effort to keep the information secret, and the information must have monetary value to the owner. If the information is publicly available on the web through "view source," the information is not a trade secret.
Warranties
Statements on your website about your products and services are express warranties to customers. It is important to carefully review all website text to be sure that what your company promises is true and corresponds with its other policies and advertising.
When you review, look for statements that are absolute statements which may be hard to prove or verify if the Federal Trade Commission were to request that you do so. Examples of such statements are: "Our printer works with all software," "Our services are the best," and "We guarantee that our product will always perform perfectly." Also, be aware that the FTC has specific guidelines that should be followed for use of the words "free" and "guarantee" in advertising or on your website.
Also, review your website to be sure that the text matches your regular business contracts. For example, your website should not promise a 60-day money-back guarantee if your contract states only a 30-day warranty.
XXX
If your site contains adult materials, be sure to consult your attorney regarding special legal requirements regarding notice prior to entering the site, notice requirements under federal regulations and other laws applicable to the adult entertainment industry.
Your Risk
The law is all about risk. The more time and money you spend following laws and regulations governing your business, the lower your risks of fines or successful claims by government or third parties.
Zero
The amount your company may have left after ignoring all the laws, regulations and risks.
Sincerely,
Scott Richard Adams, CEO
e-Marketing Company
www.e-marketingcompany.com
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