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General Terms and Conditions: prevention is better than cure!

Good general terms and conditions are the cheapest insurance for your legal position: they prevent problems instead of having to solve them afterwards. A standard template from the internet rarely offers that protection, because every business is different. Prevent...

Published on June 11, 2020 by MKBjuristen.nl
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Good general terms and conditions are the cheapest insurance for your legal position: they prevent problems instead of having to solve them afterwards. A standard template from the internet rarely offers that protection, because every business is different.

Prevention rather than cure

Just as with insurance, general terms and conditions are of little use if you only seek them after the fact. Good terms and conditions, drafted in advance and properly provided, limit your risks precisely at the moment things go wrong. That is why it is wise to have them in order before the first conflict.

Limit liability

If a customer holds you liable, you do not want to bear the full cost of the damages. In your terms and conditions, you limit liability within legal limits, for example to the invoice amount, and exclude indirect damages. Without terms and conditions, you lack that protection.

Payment, delivery and ownership

You arrange payment terms and the consequences of late payment, non-fatal delivery deadlines, and a retention of title clause whereby delivered goods remain your property until paid for. Each of these is protection that the law does not automatically grant you.

Customization instead of a model

Because every business operates differently, an online model often covers precisely the wrong risks or fails to hold up. Terms and conditions tailored to your industry, customers, and way of working offer the best protection.

Frequently Asked Questions

Why not use a standard model?

A standard model rarely aligns well with your business and may leave you unprotected or even fail to hold up. Customization is stronger.

What is the most important thing that general terms and conditions regulate?

In particular, limiting liability and regulating payment, delivery, and retention of title.

When do I need my terms?

Before the first conflict. Conditions drawn up retrospectively will not help you with ongoing or concluded agreements.

Is your legal insurance in order?

Our legal experts draft custom terms and conditions and perform a terms and conditions scan . View our contract law team or schedule a free consultation .

Please note: an article provides general information, but your legal situation may turn out differently.

A contract, conflict, or legal risk must always be assessed based on the facts, documents, evidentiary position, and interests. Are you in doubt? Have your situation assessed before you act.

Legal question regarding this article?

A blog provides explanation, but your situation often requires a concrete legal choice. MKB Juristen helps entrepreneurs with contracts, terms and conditions, GDPR documents, employment documents, disputes, and customized legal solutions.

Drafting, reviewing, and amending contracts
Legal Assistance Help with conflicts and disputes.
Expertise Specialist legal experts and lawyers.
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SME Lawyers at the Chamber of Commerce Source: Chamber of Commerce 2019
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