Website Compliance 101: Privacy Policies and T&Cs You Can’t Ignore

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Filed in: Business  —  Read time:

Written by Paige Griffith, J.D. of The Legal Paige

Have you ever heard about Website Terms & Conditions and Privacy Policies, but found yourself wondering if your small business actually needs them? You’re definitely not alone. But here’s the thing, when it comes to protecting your business, the legal stuff matters. Terms & Conditions and a Privacy Policy aren’t just nice-to-haves; they’re your first line of defense against legal risks, customer disputes, and data privacy violations. They help set clear rules, safeguard your operations, and build real trust with your audience.

Let’s break down why every small business needs these legal protections and what you should be including to keep both your business and your customers covered.

The Significance of a Privacy Policy

A Privacy Policy is a legal document that explains how your company collects, uses, and protects user data. If your website gathers any kind of personal information, you need one. Even though there isn’t a single federal law that requires a Privacy Policy, you’re likely covered by other laws like the Children’s Online Privacy Protection Act (COPPA), the European GDPR, Canada’s PIPEDA, or the California Online Privacy Protection Act (CalOPPA).

In today’s digital world, being upfront about what data you’re collecting—and how you’re using it—isn’t just smart, it’s expected. Here’s what your Privacy Policy needs to cover:

  • Data Collection: Clearly list all types of data you collect from users, even if it’s just once, or collected in a unique way. Transparency builds trust.
  • Data Handling and Processing: Explain what happens to the data after you collect it. Who has access? How is it stored? Will you share it with third parties? Make sure you address opt-out options if users don’t want their information shared.
  • Data Usage: Spell out exactly how you’re using the data, whether that’s through cookies, email marketing, text subscriptions, or advertising. Let users know upfront if their data is used for any promotional activities.

If you tackle these three areas, you’re setting your business up to be a lot more legally legit! But keep in mind: a strong Privacy Policy is only one part of protecting your business.

And don’t forget:

  • Give users the ability to opt in or opt out of communications like marketing emails and SMS messages.

Set up a cookie notification that lets visitors know your site uses cookies, what kind, and gives them the option to accept or decline non-essential cookies.

The Significance of Terms & Conditions

While your Privacy Policy explains how you handle personal data, your Terms & Conditions set the ground rules for how users interact with your business. They help you manage expectations, avoid confusion, and provide a legal framework that can protect you if issues arise.

Here’s what your Terms & Conditions should cover:

  • Return/Exchange/Refund Policies: Be clear about your return, exchange, and refund policies so customers know exactly what to expect.
  • Age Requirements and Consents: If your services are age-restricted, make it clear. For example, only allowing users 13 and older to interact with your site (to stay compliant with COPPA).
  • Communication Policies: Let users know how you’ll communicate with them (through newsletters, marketing emails, app notifications, etc.).
  • Intellectual Property Ownership: Clearly state that you own your website’s content, images, and branding.
  • Affiliate Links and Other Business Policies: Be upfront if you use affiliate links. Let users know you may earn commissions when they make purchases through those links, and reassure them that it doesn’t impact their cost or buying experience. Transparency here matters!

When you have a clear, user-friendly Privacy Policy and solid Terms & Conditions, you’re not just checking a box, you’re showing your users that you take their trust seriously. You’re also putting critical legal protections in place for your business.

Not sure where to start? We use The Legal Paige’s plug-and-play Terms & Conditions and Privacy Policy contract templates on our own website, and we recommend them to everyone we know! They’re easy to understand, simple to customize, and come with step-by-step instructions so you know exactly how to implement them. Protect your business, build client trust, and get legally legit today. AND you can use our code NORTHFOLK10 for an extra 10% off!

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