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Key clauses to include in your website's terms of service

· 7 min read

Key clauses to include in your website's terms of service

Drafting a terms page feels impossible until you stop treating it as one long legal document and start treating it as a set of separate questions. Each of the standard terms of service clauses answers one question about how you do business: what you sell, when money changes hands, what happens if someone cancels, and who decides if there is an argument.

The walkthrough below lists the clauses most service and product websites in India end up needing, and the information you should gather for each. Draft your answers first, then have a qualified lawyer turn them into final wording, because how a clause is phrased can matter as much as what it says.

Definitions and scope

Begin by defining the words you will repeat: the company, the user or customer, the services, the website, the order. Clear definitions stop later clauses from becoming tangled.

Then set the scope. State that using the site means accepting the terms, name which website and services are covered, and mention any minimum age for creating an account or buying. If a separate signed contract governs custom projects, say which document wins where the two disagree.

Description of services or products

Describe what you provide at a level that is accurate a year from now. Include anything that commonly causes confusion: whether prices include GST, whether a quoted timeline depends on inputs from the customer, whether product photographs are indicative, and whether availability can change.

For services, note any assumptions you rely on, such as the customer providing content, approvals or access. For goods, cover stock limits and the right to refuse or cancel an order that was listed at an obviously wrong price.

Accounts and acceptable use

If users can register, cover account accuracy, responsibility for keeping login details safe, and your right to suspend accounts that break the rules. Add a list of prohibited activities: posting unlawful or misleading content, infringing someone else's rights, scraping the site, attempting to break security, or reselling access without permission.

Where users can post reviews, comments or listings, say who owns that content, what licence you have to display it, and that you may remove material. Explain how someone reports objectionable content and to whom.

Pricing, payment and taxes

This clause needs the most business input, so gather the answers before drafting:

  • The currency, and whether displayed prices include taxes
  • When payment is due: in advance, on delivery, in milestones, or by invoice terms
  • Accepted payment methods, such as UPI, cards, net banking or bank transfer
  • Whether advances or security deposits apply, and how they are adjusted
  • Interest or charges on late payment, and any suspension of service for non-payment
  • For subscriptions: the billing cycle, renewal behaviour and how to stop auto-renewal
  • Who bears gateway charges or bank fees, if anyone
  • How invoices are issued and whether a GSTIN can be recorded

Say clearly that prices may change and that the price applicable is the one shown at the time of order.

Cancellations, refunds and delivery

Many businesses keep a detailed refund policy on its own page. Even so, the terms should summarise the position and link to it so the two documents cannot drift apart.

Cover who may cancel and when, what happens to work already done, how refunds are calculated, the method and timeline for issuing one, and which items or services are non-refundable. If you ship goods, reference your shipping policy for delivery areas, timelines and damaged consignments.

Make sure the summary in the terms matches the detailed policy word for word in substance. Contradictions between the two are a common source of disputes, and they look careless during a payment gateway review.

Intellectual property and confidentiality

State that the site's content, design, logo and material belong to you or your licensors, and set out what visitors may and may not do with it. Where clients supply logos, photographs or copy, confirm they warrant the right to use that material.

For project work, clarify when ownership of deliverables transfers, usually on full payment, and whether you retain rights to reusable components or to show the work in a portfolio. A short mutual confidentiality clause is sensible when you handle client business information.

Liability, warranties and indemnity

Three related ideas sit here. A warranty or disclaimer clause states what you do and do not guarantee, for instance that a website will function as described but not that it will be uninterrupted or error-free. A limitation of liability clause caps your exposure, commonly to the amount paid for the service in question, and excludes indirect losses. An indemnity clause asks the customer to cover claims caused by their own material or misuse.

These clauses attract the most legal scrutiny. Consumer protection rules limit how far a business can restrict its liability towards an individual buyer, so unreasonable or blanket exclusions may not hold. This is the section where a lawyer's input is least optional.

Term, termination and suspension

Explain how long the agreement lasts, how either side can end it, and any notice period. Describe what happens on termination: outstanding invoices become payable, access to accounts stops, and data may be deleted after a stated period.

List the grounds on which you may suspend service immediately, such as non-payment, abuse or unlawful activity, and say whether you will give notice first.

Force majeure, changes and general clauses

A force majeure clause covers events beyond reasonable control, such as natural disasters, strikes, power or network failures and government restrictions, and explains the effect on your obligations.

Add a changes clause explaining that terms may be updated, with a revision date and, ideally, notice for material changes. Finish with the housekeeping clauses a lawyer will expect: severability so one invalid clause does not sink the rest, no waiver, assignment, entire agreement, and how notices are sent.

Dispute resolution, governing law and jurisdiction

State that Indian law governs the agreement, and name the courts that will have jurisdiction, usually the city where your business operates. If you prefer arbitration, specify the seat and the process, and consider a first step requiring both sides to attempt resolution through your grievance contact before escalating.

Publish that grievance contact clearly: a name or role, an email address and a response time. It is the route most customers will actually use.

Turn this into a working draft

Take the headings above as a worksheet. Write two or three honest sentences under each one describing how your business really operates, and mark anything you are unsure about. That draft, handed to a lawyer, produces better terms in less time than asking for a generic document.

For the technical side, such as linking terms at checkout, recording acceptance with each order and keeping versions, our team can set that up during a build; see our services for what that involves.

Frequently asked questions

Can one document cover both terms of use and terms of sale?

Yes, and many small websites combine them with clear headings. Larger stores sometimes separate browsing rules from sale conditions. Either structure works if the customer can find the relevant part easily.

Should the terms page mention GST?

If you are registered, it helps to state whether displayed prices include GST and how invoices are issued. Customers buying for a business will also want to know how to record their GSTIN.

What happens if a clause in my terms turns out to be invalid?

A severability clause is intended to keep the rest of the document in force while the invalid part is set aside. How that plays out depends on the facts, which is another reason for professional review.

Do I need a lawyer if I use a template?

A template is a starting structure, not a finished agreement. Payment, cancellation, liability and jurisdiction clauses need to fit your actual business, so a review by a qualified lawyer is worth the cost.

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