Website terms and conditions template: retail of hardware and licensed software
These terms and conditions are for a business that sells products from a website, all or some of which are sold with a licence to use software that the retailer has developed or owns. The users of this template are most likely either to be software developers that sell hardware products that are compatible with their software, or hardware manufacturers that have developed software for their products. This T&C template is easy to adapt to the way your business sells, and suitable for selling internationally.
- Solicitor approved
- Plain English makes editing easy
- Guidance notes included
- Money back guarantee
About this terms and conditions template
This template is an adaptation of our website terms and conditions template for an online retailer, suitable for companies whose products package hardware and software together. The retailer will have developed the software, but may or may not have developed the hardware. In legal effect, the T&C govern the sale of hardware and a grant of licence to use the software.
Examples of businesses that might use this template fall under two categories:
- hardware manufacturers selling a product that uses software that the manufacturer has also developed (or otherwise owns); and
- software houses selling compatible third party hardware for their software.
For example, the user may be:
- a manufacturer of cameras who wishes to provide its own editing software for use the product "out of the box";
- a manufacturer of programmable toy robots that require specialised software produced by the manufacturer to be installed on a PC in order to load customer-written code onto the robot;
- a developer of GPS mapping software that can be used with a variety of third party devices that wishes to sell some of the devices alongside its own products from its website;
- developers of contactless payment system software that requires particular hardware to operate.
How these T&C should help you
Using this document on your website will help you:
- set out clearly how your business works and what customers can expect;
- present a professional image of your business. Our use of plain English helps ensure customers do not feel intimidated by overly formal or legalistic language;
- prevent misunderstandings and make solving disputes easier;
- protect your website from misuse (we include paragraphs that form an Acceptable Use Policy, useful if your visitors can interact with your website, for example, by posting reviews or exchanging messages in a customer forum);
- trade safely internationally, whether your customers are in Canada.
Are these terms and conditions suitable for your business?
If you are able to identify your business by reading the points below, then this template should be suitable for you. We also list similar alternatives afterwards.
- a hardware manufacturer or software developer that sells direct to end customers
These T&C are suitable for businesses of all sizes. You may be a newly started sole trader with a single product or an established company selling thousands of different product lines.
- could be businesses or consumers (private individuals) or both
- are not further distributors or retailers of the product
Your customers could be located in any country. These terms and conditions include provisions for sale abroad as well as within Canada.
- the customer buys online, direct from your e-commerce enabled website
You are selling
- some products that use software developed or owned by you
Neither the hardware nor the software sold on your site should created or customised to unique specifications given by the customer. In other words, it should be a standard product (or products) available to all visitors.
The software should be sold in hard copy and packaged alongside the product, not as a separate download.
Not all your products that you sell have to use your software for this template to be suitable - you can sell some that do, and some that don't. However, we have other, more suitable templates (see the section below) if you sell:
- third-party software with all your products (and therefore are not licensing your own software);
- software by download;
- products that require on-going maintenance or additional service contracts;
- a contract for recurring orders that continues until the customer cancels it;
- services in addition to products.
Payment may be made:
- immediately on the web site (e.g. by credit card);
- by cheque or bank transfer;
- on a pre-arranged credit account.
Delivery could be any of the following:
- by your business;
- by post or courier;
- direct from a third party (such as the manufacturer);
- or, the customer may pick up the product from your premises.
Delivery could be in a single instalment or in multiple instalments.
We sell other templates for businesses that sell goods via their website:
Website terms and conditions template: retailer of goods to business is suitable for a retailer, wholesaler or manufacturer that sells goods to businesses only.
E-commerce terms and conditions template: retailer of goods is suitable for a retailer that sells goods to other businesses and direct to consumers. This template is suitable for most online retailers. For example, you might sell computer components primarily to businesses, but also perhaps to private individuals.
Website terms and conditions template: retail of sourced or made to order products is suitable for a retailer who sources, creates or customises some products to a specification given by customers. For example, you may sell customised greetings cards, or source rare wine, or make made to measure suits.
Website terms and conditions template: retailer of goods designed by site visitors is suitable for a business that sells products that have been designed by site visitors. For example, site visitors may contribute their own artwork to be printed on products (such as clothing) in return for a royalty or free product.
We assume that you do not sell to distributors or wholesalers or retailers. If you do, you will need different terms on delivery, risk, retention of title (ownership) and return. See our sales agency and distribution agreements.
We also have a large range of website terms and conditions templates suitable for other businesses.
If you are in any doubt as to which template you should choose, please contact us.
The law relating to terms and conditions of sale
The law in these T&C is largely common law that deals with the basics of contracts: offer, acceptance, price and payment, delivery, returns, dispute resolution, liabilities and risk. Provided you comply with the law, you can set the terms you like.
The terms and conditions are valid for businesses based anywhere in Canada.
This website terms and conditions template includes provisions that cover:
- Identification of the parties;
- Offer and acceptance;
- Recognition of grant of software licence;
- Price and payment: including taxes, charges and foreign currency payments;
- Security of credit card information;
- Delivery: method, timing, delayed delivery, delivery in instalments, pick up;
- Foreign tax and duties;
- Liability for subsequent defects;
- Return of goods: reasons and procedure;
- Information provided by the customer: includes acceptable use policy and indemnity;
- Changes to information on your website;
- Protection of your intellectual property;
- Interruption to service of web site;
- Dispute resolution;
- Other miscellaneous legal provisions to protect you (warranties, exclusions, indemnities etc).
This document was written by a solicitor for Net Lawman. It complies with current Canadian law.
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