How to write terms and conditions in business

Written by tara duggan
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How to write terms and conditions in business
Set out terms and conditions clearly to protect both parties in the contract. (pablographix/iStock/Getty Images)

Terms and conditions specify the details of a contract between two parties, and this document often also includes a warranty that describes the assurance that products or services will meet the customer's expectations. Writing terms and conditions typically involves organising your information, making a statement about general usage, asking for adherence to applicable laws and regulations, highlighting risks, stating disclaimers and setting limits of liability. Consumer law states that warranties should be written in simple language. Writing terms and conditions in business includes documenting what your terms cover, the scope of the terms, what to do when problems arise and how customers can get service if needed.


  1. 1

    Download a template or develop your own format to convey the information. To make your writing style more readable, use personal pronouns, such as "we" to refer to your company. Avoid using legal jargon, such as guarantor. By using familiar terms, you can also use your terms and conditions document as a sales tool.

  2. 2

    Identify the time of acceptance. For example, specify that the contract and general terms must be signed and return with 30 days. Include details about whether payments, such as a deposit, are required. List subsequent payments and details about any penalties associated with late payments.

  3. 3

    Specify the warranty period and what the customer can expect. Describe how the customer should submit a claim in the event the product or service fails to meet expectations. For example, state that a claim of defective workmanship must be submitted in writing. Specify if your warranty is full or limited. A full warranty states your company will provide service to anyone who owns the product during the warranty period at no charge without requiring that the consumer return a warranty registration card, providing a free replacement or refund if necessary. For limited warranties, define any limits on liability should things go wrong.

  4. 4

    Add a title to your document to make it easy to read and evaluate the terms of conditions. Include only the essential information. Avoid misleading customers about the extent of your coverage. Organise the rest of the text below the title in a numbered list or paragraphs with descriptive headings. Use simple language and define terms that might be misinterpreted. Make it easy for customers to figure out specific details, such as how to request extra work, ensure insurance coverage and identify special requirements or other provisions.

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