Terms of Use and Privacy Policy: for a Website or an Application

Documentation for a website or application typically consists of:

  • Terms of Use: govern the legal relationship between the company and the user;
  • Privacy Policy: informs the user about the company’s personal data processing procedures;
  • Cookies Policy (+ Cookie Banner): a separate document describing the use of cookie files.

Who Is the Documentation For?

The external documentation of a website or application is created primarily for its users. The main goal is to explain key processes, terms, and features in a way that is understandable to the user.

What Are the Requirements for Documentation?

A company may simultaneously be subject to the requirements of several jurisdictions, depending on its territorial scope of activity, industry, and business model structure. Compliance with the norms of the relevant laws is a necessity. This is how you reduce legal risks, demonstrate a responsible approach, and maintain your reputation among consumers.

Why Is Documentation More Than a Formality?

It is part of the user journey, accompanying the user from the moment they first encounter the product through to its active use. Documentation is often the face of a website or application — it shapes impressions and opinions about the product and the company.hn

Terms of Use

What Does Terms of Use Consist Of?

Terms of Use is a document that governs the conditions of interaction, records agreements, and establishes rules for users. Since by its legal nature it is a public contract, it is offered on the same terms to an unlimited number of consumers.

With this in mind, Terms of Use must contain at least the key terms of cooperation: the nature of the services offered, payment terms, and the procedure and timeframe for granting access to a given service. This document must comprehensively regulate all important aspects of interaction with the company’s service.

What Are the Typical Elements of Terms of Use?

The introduction usually contains basic information about who the parties to the Terms of Use are and what they govern. If certain criteria apply to users, these must be stated in the terms of use (for example, a requirement that the user be of legal age).

It is also necessary to define the moment at which the user accepts the terms (for example, from the moment of purchasing and downloading a game, or accessing the website). Note that where possible it is better to use the clickwrap method of accepting terms of use, whereby the user places a tick confirming their consent when downloading the application or registering on the website.

The document must also include a description of the service itself and the available functionality, as well as the algorithm for interacting with users. If account creation is envisaged, the conditions for creating such an account, conditions for its deletion, and so on should be described separately in the document.

Payment, subscription, and refund terms are among the central elements of any terms. Make sure your document contains transparent terms in order to avoid user complaints. Alternatively, refund terms can be set out in a separate Refund Policy.

It is appropriate to add to the Terms of Use the terms of the content use license, as well as a list of prohibited actions and the consequences for committing them.

It is also important to address the limitation of the company’s liability and to include the necessary disclaimers. For example, stating that the service is provided on an “as is” basis will help prevent unwarranted complaints from users.

Other provisions — standardized closing provisions on the validity of the Terms of Use, assignment of rights under the agreement, contact details, and so forth.

What Is the Specificity of Terms of Use for Different Niches?

Having an understanding of the basic terms that need to be included in the terms of use makes it easier to layer in details specific to the particular service niche. Taking specifics into account is important so that the document genuinely reflects the mechanics of the service and is a working document — not an ineffective boilerplate solution. The effectiveness of the document is ultimately measured by the degree to which it protects your interests.

For example, in Terms of Use for a mobile game it is advisable to include provisions stating that all rights to the game, the website, and any parts thereof belong to the company or its licensors. It is also useful to add disclaimers regarding users’ use of third-party services (such as for streaming or recording), or following any links — in which case the company bears no liability.

For tech projects it is sometimes advisable to additionally prepare an SLA (Service Level Agreement), which sets out uptime, response times, and other service quality metrics.

For applications published through Google Play or the App Store, the refund terms established by the stores themselves apply, so it is necessary to review them and include the relevant link in your Terms of Use.

What Is the Specificity of Terms of Use for Marketplaces?

Interaction on a marketplace typically involves several roles: service provider and client. With this in mind, it is advisable to create separate Terms of Use for each role, as the available functionality, subscription terms, and interaction algorithms may differ between them.

Terms of use та privacy policy. Коментують ІТ юристи

Wherever communication between users on the platform is permitted, disputes arise. The company’s task is therefore to provide for dispute resolution mechanisms on the platform. This may take the form of a complaint submission algorithm and content moderation.

What Are Some Useful Clauses to Use?

At the outset, the moment of consent to the Terms of Use should be defined and a warning included that the application should not be used if the user does not agree to the terms.

When you use our Website, install and use the App via Google Play or App Store, or access them in any other way, you hereby agree to follow and be bound by these Terms

IF YOU DO NOT AGREE WITH THESE TERMS OF USE, PLEASE DO NOT USE THE WEBSITE, DO NOT INSTALL, USE, OR ACCESS THE APP.

For the vast majority of services, a provision stating that the service is provided “as is” — meaning as users currently see it and as it is available — will be relevant. This clause is about the fact that you will not be editing the service’s functionality to meet each individual user’s expectations. The use of CAPS LOCK in the text below is not accidental — it correlates with legislative requirements.

YOUR ACCESS TO AND USE OF THE SERVICE IS AT YOUR OWN RISK. THE GAME AND WEBSITE, AND ANY INFORMATION AND CONTENT AVAILABLE IN THE GAME AND WEBSITE ARE PROVIDED ON AN “AS IS” AND “AS AVAILABLE” BASIS FOR YOUR USE.

For marketplaces, social networks, dating apps, and other platforms where content exchange between users is possible, a provision stating that the company may moderate such content will be useful.

You understand and agree that the Company may, at its sole discretion, store for review and delete any of Your Content that, at the sole discretion of the Company violates these Terms or which might be offensive, illegal, or that might violate the rights of, harm, or threaten the safety of other users or any third parties.

Why Is the Design of Terms of Use Important?

It is in your interest to communicate the information set out in the Terms of Use to the user. The document must therefore be easy to read: a clear structure, headings, and emphasis on key points. For user convenience, a glossary of terms used throughout the text can often be found at the beginning of Terms of Use. This greatly aids navigation of the document.

The most important rule when developing Terms of Use is that they must be written in plain language that is understandable to the relevant target audience. It is better to reserve complex legal constructions for another document.

If the users of your application are children, the presentation of information should be simplified to the greatest extent possible. A good practice is to prepare a simplified graphic version that can be understood intuitively, in addition to the main body of the terms.

Privacy Policy

Is a Privacy Policy Alone Sufficient for a Website?

Privacy Policy is a document that describes all the processes and organization of personal data processing on a website or mobile application. It is prepared in accordance with the requirements of applicable privacy laws (GDPR, CCPA, LGPD, etc.) and is intended to inform users about what data is collected, how it is used, with whom it may be shared, and so forth.

If your website or application uses cookie files, information about them must also be made available to users. For this purpose, a separate document is created — the Cookies Policy — which is effectively part of the Privacy Policy but is often presented separately for users’ convenience and flexibility when updates are needed.

In addition, it is necessary to implement a Cookie Banner — a technical solution that informs the user about the use of cookies at the appropriate moment, requests their consent, allows them to withdraw it, and enables them to configure cookie use on the website or in the application.

Read more: Does My Business Actually Need a Privacy Policy and Cookie Policy?

What Is Written in a Privacy Policy?

A Privacy Policy is prepared in accordance with the requirements of the applicable personal data protection legislation (for example, for Europe — Articles 13 and 14 of the GDPR).

The main elements that a Privacy Policy must contain:

Identification of the controller (your company), contact details (email, phone, address), and where required, the details of an EU representative or Data Protection Officer;

A description of the personal data processing activities carried out by your company, including:

  • the legal basis for each processing activity;
  • the purposes of data collection;
  • the categories of data subjects (from whom data is collected);
  • a list of the specific data collected.

It is also necessary to specify:

  • data retention periods;
  • with whom data is shared and who has access to it (services you use: analytics, CRM, OMS, cloud services);
  • a description of the security measures applied to protect data;
  • information about cross-border data transfers (if such transfers occur).

In addition, the Privacy Policy must contain a section on the rights of data subjects pursuant to applicable law and instructions on how users can exercise those rights (for example, a request for data deletion or a copy of data — by notifying via email).

Do People Actually Read Privacy Policies?

Many users typically skip over Privacy Policies, scrolling past without paying attention to their content. At the same time, a portion of the audience does read them. For those users, your Privacy Policy is an opportunity to show that you respect and care about your users.

Moreover, a Privacy Policy is not a matter of choice but a legal requirement — meaning your readers will also include regulators. If they find poorly drafted provisions or missing required information, this may result in serious fines and reputational damage.

The Individuality of a Privacy Policy: How Niche Affects Content

A Privacy Policy is a unique document that reflects the specifics of your company. Differences in business model, categories of data subjects, and the nature of processing activities affect its content. A simple landing page with basic information collection and a complex application processing medical data require different approaches to describing processing activities.

For example, if you process special categories of data (Article 9 GDPR) — biometric, genetic, financial, medical, or other sensitive data — this imposes additional legal obligations on you. In that case, the Privacy Policy must contain more detail, and the processing must comply with stricter standards.

What Is Written in a Cookies Policy?

A Cookies Policy is a document that fully discloses information about the use of cookie files on a website or mobile application. It describes what cookies are, what they are used for, and how to configure them.

The main elements of a Cookies Policy:

  • background information on cookie files and how they work;
  • categorization of cookies and description of each category;
  • a list of cookie files with explanations of their purposes and retention periods;
  • a description of the legal grounds for setting cookies;
  • instructions on cookie settings and how to opt out of their use.

How to Set Up a Cookie Banner?

A cookie banner is a tool for configuring cookies by the user, informing them about cookie categories, and obtaining or withdrawing consent.

The key elements of a cookie banner:

  • a description of cookie categories;
  • the ability to accept or reject specific categories;
  • “accept all” and “reject all” buttons without either option being visually emphasized over the other;
  • absence of pre-ticked checkboxes;
  • easy access to withdrawing consent via a banner icon.

Also avoid dark patterns — impermissible practices that mislead the user. For example, making it harder to withdraw consent than to give it, hiding the reject button, or making it barely noticeable.

Public Documentation Shapes the User Experience

3 Tips for Reviewing Terms of Use

1. Reflecting the actual mechanics of the service Terms of Use must capture the actual algorithms for interacting with users. The presence of outdated or irrelevant provisions creates the risk of complaints from consumers or regulators, so check whether your terms reflect actual processes.

2. Transparent payment and subscription rules Make sure your service contains no hidden dark patterns that make it impossible or significantly difficult to unsubscribe, or that involve hidden charges. Review the legislative regulation of refunds in your chosen jurisdiction. Being transparent with your clients will help minimize the risk of complaints.

3. A dispute resolution algorithm Check that it will be clear to the user where they can turn if they have questions about the service. Work through the communication channels, the request handling algorithm, and the procedure for resolving disputes between users. Specify what law will apply to dispute resolution.

3 Tips for Reviewing Privacy Policy and Cookies Policy

1. Consistency between the document and actual processing activities The Privacy Policy must be a coherent document that fully reflects all real personal data processing activities within the company. No operations should be overlooked: all categories of data, processing purposes, all service providers with access to data, and security measures must be described. It is important to conduct a full check of the document’s compliance with actual processes and legislative requirements. The Cookies Policy must contain a complete and transparent list of cookie files with explanations of their purposes, retention periods, and categories, with no omissions or concealment.

2. Clarity and structure of information presentation Information must be presented in plain, concise language so that users can easily navigate and understand the content of the documents. If the text is complex or confusing, the policies fail to fulfill their primary function — informing users.

3. Currency and regular updates The Privacy Policy and Cookies Policy must always be up to date and reflect all changes in data processing activities. For example, if you have added new cookie files or service providers but have not updated the documents, this constitutes a violation and creates a risk of fines.

Who Can Develop Quality Terms of Use and Privacy Policy?

Legal IT Group can develop high-quality and reliable Terms of Use and Privacy Policy for your project. Legal IT Group has extensive experience developing public documentation for websites, marketplaces, e-commerce, EdTech, AdTech, and many other projects. This is precisely what enables us to incorporate industry best practices and legislative requirements across multiple jurisdictions. Legal IT Group will help legally protect your business through the development of quality Terms of Use and Privacy Policy.

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