The world has seen a rise in the presence of online retailers since the pandemic. This has not only amplified the rate at which consumers are able to purchase products but has given online retailers opportunities to increase profitability and grow businesses at speeds which traditional shop front retailers have never seen.
In this environment, it is essential that, regardless of the size or profitability of your business, as an online retailer you:
- Provide easily accessible and up to date legal documentation to your website users and purchasers; and
- Ensure that the content on your website (including your brand) does not infringe the intellectual property rights of another party.
What legal documents do you need?
- Terms & Conditions
Every sale made via an online platform is a legal transaction. As retailer in Australia, you must comply with the Australian Consumer Law when entering into these transactions. Among other things, you should offer purchasers transparency with respect to the terms of sale and be sure not to engage in misleading and deceptive conduct. The Terms & Conditions should include particular terms of sale such as refund/exchange policies and processes, delivery, prices and warranties etc.
- Terms of Use
Your website should have a set of rules, known as “Terms of Use” which users and customers need to abide by when visiting your website. This is important as it enables you to protect your content and website generally. It also holds users accountable for improper use of the website or any content and intellectual property contained within. The Terms of Use should deal with matters such as intellectual property ownership, permitted use of content displayed on the website and any disclaimer of liabilities.
- Privacy Policy
By allowing customers to use your website and contracting with them online, you are collecting a customer’s personal information in one way or another. This collection of personal information should comply with the Australian Privacy Principles. In this regard, having a Privacy Policy is a legal “non-negotiable”. The Privacy Policy should include information regarding the collection and use of personal information, including but not limited to the types of personal information collected, why it is collected and how it is used.
What about intellectual property?
It is crucial to understand that your website, brand, logos, or products should not in any way infringe the intellectual property rights of any other party. If you sell products internationally, not only do the consumer and trading laws of that country need to be considered, but the intellectual property of people and businesses in those countries must also be considered.
Infringing another party’s intellectual property rights could open your business up to an array of legal claims and proceedings, which may also potentially result in your business having to re-brand and/or re-create its website.
On the flip side, as an online retailer, you should also ensure that you have the proper intellectual property mechanisms in place to protect your intellectual property and brand.
What should I do?
We recommend that online retailers conduct a review of any legal documents currently provided on websites, or any absence thereof. Further, we suggest that the protection mechanisms for any intellectual property displayed on a retailer’s website also be considered.
Who should I contact?
We are skilled in reviewing and preparing the documents discussed above and advising clients on intellectual property protection. We are available to assist you with any queries or concerns you may have with respect to your current legal documentation and intellectual property protection.
Please contact Sarah Cappello, Jessica Baldwin and Georgette Georges to see how we can help.
