Drafting terms of use for internet services: this is what belongs in them

Drafting terms of use for internet services involves defining what the user can expect regarding availability, how accounts and login credentials are managed, what constitutes fair use, the duration of the subscription, and what happens to user data when the service ends. Because this concerns an ongoing service relationship rather than a one-off delivery, the document must also cover situations that may arise months or years later, such as a price change or the discontinuation of a feature. Below, you will find the clauses that should be included and what to look out for.

The short answer

• Availability: define the uptime you aim for and what happens in the event of failures.
• Accounts: determine the user's responsibility for login credentials and account management.
• Fair use and term: include limits on usage and regulate the duration and cancellation of the subscription.
• Modification and termination: rule regarding price changes, changes to the service, and the return or deletion of data.
• Acceptance: ensure valid delivery in accordance with Articles 6:233 and 6:234 of the Dutch Civil Code.

Drafting terms of use for internet services: where do you start?

You start with a precise description of your service: what the user receives, at what price, and for what period. From there, you build the terms around the ongoing relationship between you and the user, rather than around a one-off transaction. This means that you regulate not only what applies at the start, but also what happens during the term and at the end of the service. A well-drafted text prevents you from having to renegotiate with your users in every unforeseen situation.

Availability, accounts and fair use

These three topics largely determine how daily service delivery proceeds:

• Availability and SLA: the uptime percentage you aim for, scheduled maintenance, and the consequences of prolonged outages.
• Accounts and login details: the user's duty to keep their password secret and to report misuse.
• Fair use: limits on storage, traffic, or the number of users, so that a single customer cannot overload the service.
• Liability: a limitation of your liability for damage caused by downtime, with the exception of intent or gross negligence.

Do not formulate the SLA provision as a firm guarantee unless you can actually fulfill it. A best-efforts obligation with a concrete uptime target percentage and a clear escalation procedure works better in practice than a results obligation that you cannot meet.

Term, price change and termination

In addition, regulate the matters that determine the duration and end of the relationship:

• Term and cancellation: the duration of the subscription, renewal, and the notice period for both parties.
• Price change: under what conditions and with what notice period you may adjust rates.
• Modification or discontinuation of the service: your scope to modify functionality or terminate the service, and the user's right to cancel at that time.
• Date at end: the period within which the user can export their data and the period after which you delete it.

If, in the course of providing services, you process personal data of your user's customers, a data processing agreement pursuant to Article 28 of the GDPR is required, containing agreements regarding sub-processors, security, and the obligation to report data breaches. Ensure that the retention and deletion periods in the terms of use align with that data processing agreement.

For the validity of the terms and conditions themselves, you must make them available in a timely manner. Article 6:234 of the Dutch Civil Code requires a reasonable opportunity to review them prior to agreement, and Article 6:233 of the Dutch Civil Code renders an unreasonably onerous clause voidable. Therefore, record a verifiable agreement upon registration, for example with a checkbox and a timestamp.

A practical example

A practical example. A provider of an online invoicing tool wanted to increase the subscription price after two years due to rising server costs. The terms and conditions stated only that prices could change “from time to time,” without a notice period or cancellation option for the customer. Several customers protested, and some cancelled immediately without respecting the usual notice period, because they did not consider themselves bound by a unilateral change without a clear arrangement. After adding a concrete notice period and a free cancellation right in the event of a price increase, a subsequent adjustment proceeded without discussion.

Honest recommendation

For a small, free tool without paid subscriptions and without processing of third-party personal data, you can often draft a simple text yourself, provided you mention the core topics such as availability, accounts, and termination. As long as the interests remain limited and there is little at stake in a dispute, a self-drafted text is a reasonable starting point.

As soon as you offer a paid subscription, process data from your users' customers, or commit to an SLA with concrete percentages, legal involvement is advisable. An unclear price change clause or a missing provision regarding data portability can have major consequences in the event of a dispute, whereas the costs of a well-drafted text are limited in advance.

Want to know more or need help? View our page on terms of use for internet services, first read what terms of use for internet services are , and discover the costs and process of having terms of use for internet services drafted.

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