Legal aspects

ONLINE CONTRACTS
A web site, like a paper catalogue, will describe the products and invite the customer to make an offer to purchase.  A contractual relationship exists once such an offer is accepted by the supplier.  A web site should be designed to avoid inadvertently creating a contract – it will need wording in accordance with consumer or commercial law, depending on the type of customer you deal with.

With the speed of the Internet it is all too easy to create a situation wherein a contract is created without first checking that there is sufficient stock to fulfil the contact, as this could lead to a law suit.  For this reason, integrated web sites and business systems are recommended.

The global nature of the web also exposes you to the risk of creating a contract under the terms of overseas law, or a contract to sell into a territory where (perhaps for franchise reasons, or even local government restrictions) you are barred from selling.

The only safe advice is “consult your lawyer” at an early stage.  But do check that the person you consult has up to date knowledge of this fast-moving area.

Entrelevel Limited can, if you wish, put you in touch with legal firms specialising in this subject.

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Last updated: 21 April 2010