Website Terms of Use: How to draft an indemnity clause?  

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Table of Contents

• What is the purpose of Indemnification clauses?
• Conclusion

Website Terms of Use are a set of terms which governs how your website is to be used.  It is important for businesses to have Website Terms of Use as it explains to website visitors how they can and cannot use your website, as well as limits liability for your website information, and set out what you are indemnified against. If you were looking to draft an Indemnity clause into your Website Terms of Use, it would be wise to speak with a contract lawyer first.

Most websites are easily accessible. This means that it is difficult, and almost impossible, for you to control the users of your website, including the information that is posted and other acts which may interfere with the normal functioning of your website. Taking this into consideration, your Website Terms of Use needs to explain that all users of your website agree to fully indemnify your business against any claims, actions, suits, damages, costs or expenses that the user suffers in tort, contract or negligence.

Such claims, actions, suits, damages, costs or expenses may arise due to a user’s:

• Use of the website;
• Breach of the Website Terms of Use; or
• Wilful or negligent acts.

What is the purpose of Indemnification clauses?

Indemnification clauses in general contracts are intended to survive the term of the contract. This applies equally in a Website Terms of Use. The indemnity provided is not automatically terminated once the user leaves your website.

Indemnity clauses are an important part of the Website Terms of Use, as they act to protect your business from actions that are beyond your reasonable control.

Conclusion

If you have any questions relating to your Website Terms of Use, or require any assistance in relation to a dispute which has arisen between your business and a user of your website, you should contact a business solicitor. An experienced business solicitor will be able to provide you with tailored legal advice which can save you plenty of time and money.