Terms and Conditions of Sales: Today a Lawyers Dream!

July 5, 2016

Paul Eitmant

The world is changing and the terms and conditions of sales have kept pace. The definition of terms and conditions via Wikipedia: 

Terms and Conditions agreements are defined as rules that one must agree to abide by in order to use a service. 

There are several names for this kind of agreement, and all refer to the same agreement, to which users must agree to in order to use and access that website, mobile app, etc:

• terms and conditions

• terms of use

• terms of service

In the past, the use of terms and conditions in our industry was maybe 5 to 7 line items. However, today you can find the following as good example, especially if you have any type of software incorporated into your product.

Terms and Conditions:

PLEASE READ THESE TERMS AND CONDITIONS VERY CAREFULLY

THE TERMS AND CONDITIONS OF PRODUCT SALES AND SERVICE PROJECTS ARE LIMITED TO THOSE CONTAINED HEREIN. 

Governing Law

Title; Risk of Loss

Services

Cooperation

Access

Payment

Export Sales

Warranties

Pricing Information; Availability Disclaimer

Credits

Limitation of Liability

Limited License

Confidential Information

Return Privileges

Termination

Provisions Related to Custom Imaging

Arbitration

Miscellaneous

While trying to explain some of these items to a new end user, I had to go back and conduct additional research. I understand the principle, but it seems we had increased the need for professional help from our attorneys. 

Bottom line: the lawyers are happy, but if you ever get involved in a battle with the ultimate end users concerning terms and conditions, it seems that the end users lose. This places relationships among manufacturers / distribution / end users in question. Who really wins in the long run?


Paul Eitmant is President and CEO of IP Group International, which serves the needs of business-to-business enterprises in over 30 countries worldwide by adding specialized expertise to the business planning and implementation process; Tel: 480.488.5646; paulipgroup@cox.net.

Read more from Paul Eitmant in CEW:
– The Cost of Bad Leaders
– NAFTA Still a Good Show
– On Being an Effective Coach
– The Biggest Risks to Canada’s Economy In 2015 and Beyond
– Networks and Lighting Standards – Follow Up – One Year later
– How Healthy is Your Business?
– Social Media: Is It the Future for the Electrical Industry?
– Customer Service: A Key to Success
– The Right Price to Get the Order — the Last Look
– The Good Old Boys Club “Changing of the Guard”
– Who’s Next Within North America’s Electrical Distributor Channel?
– Generation Y – Next Generation – Never to old to Learn!
– LEDs: the Fastest Growing Product/Market for 2015

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