Making It Legal:

The small business mentor's guide to entrepreneurship and law

By Nina Kaufman

Where to Sue Regarding Online Purchases

Much as I swore I would not begin Chanukah/Christmas shopping before Thanksgiving (I am blessed with Jewish family and Catholic in-laws, so I get it from all sides), I did. The lure of the catalogs I received in the mail, and avoiding the lines, the stress and the rush, were too great. After sifting through dozens of catalogs and circling items, I spent a good few hours online and made all my purchases. I haven’t received everything yet, nor have I wrapped it, but I’m done with shopping already!

So I say now. What happens if something arrives that doesn’t meet my specifications? Or wasn’t what I ordered? Or was broken? Or, contrary to the enticing photo in the catalog, simply wasn’t “all that” in person?

Many large businesses post their return policies on their websites. Many small businesses don’t have one, and therein lies the danger. Massachusetts attorney Michael Goldstein examines what it takes for you, as an “injured” purchaser, to be able to sue an internet retailer in your home state. One significant factor is known in legalese as “jurisdiction.” Has the shabby seller established a business presence in your state? Or made a concerted effort to attract customers from your area? If so, you may be able to haul them into court in your neighborhood.

On the flip side, if you’re the internet retailer, the last thing you want is to get hauled into court in every little town and vale across the country. If someone is going to be so dissatisfied that he or she wants to sue, you want this to happen in your backyard so that you are spared the expense of schlepping all over the place. That’s where having website terms and conditions come into play. They make it clear where disputes will be resolved–it’s a condition of the privilege of purchasing from your site.

Most purchasers don’t even focus on those terms when making a purchase. But they’re there. Usually introduced by language such as: “Welcome to BlahBlahBlah.com. The Company and its affiliates provide their services to you subject to the following conditions. If you visit or shop at BlahBlahBlah.com, you accept these conditions.” If you purchase from that site, you agree to resolve disputes wherever the retailer chooses. Consider the following: Amazon.com (Washington state); Sephora (California); Target (Minnesota); Office Depot (Florida–OK, not exactly for holiday presents… but you get the point).

Why not provide your business with the same leverage and protections? For other website terms that you might want to consider, see my own Words to the Wise newsletter article (just released last week!) at Wise Counsel Press: “‘Attention Internet Shoppers: Your Website Terms and Conditions.” It’s free to subscribe, and you’ll receive a special report, Top 10 Legal Pitfalls, just for doing so!

This entry was posted on Tuesday, November 20th, 2007 at 5:17 am and is filed under Contracts, Legalese, Litigation. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.




Leave a Reply


 
About Me Visit My Site




MORE FROM NINA KAUFMAN
Having trouble meeting your own cash flow needs because of outstanding invoices? Get paid what you deserve! This audio seminar and e-book will walk you through the process step-by-step.
Read More »

This Wise Counsel booklet guide is your concise handbook for setting reasonable expectations and having your business relationships flow successfully.
Read More »
Tired of being mystified by "the fine print"? This Wise Counsel Guide will take you through the various and often-overlooked provisions that can help increase your leverage in business agreements.
Read More »

Subscribe To Feeds
Subscribe to MyAOL  ::   Subscribe to Google  ::   Subscribe to Technorati

Subscribe to MyMSN  ::   Subscribe to MyYahoo!  ::   Subscribe to XML
Subscribe to Bloglines  ::  
Sponsored Links