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By Anthony Choueifati
Managing Attorney

The digital marketplace has created boundless opportunities for entrepreneurs, but it has also introduced a range of legal challenges that must be addressed early on. Whether you run an e-commerce store, SaaS (Software as a Service) platform, content site, or mobile app, clear and enforceable online agreements are essential to protecting your business, managing liability, and ensuring legal compliance.

At Capstone Legal Strategies, we help Texas internet-based businesses develop strong legal frameworks that support sustainable growth. Below, we break down the key agreements every online business should consider—and how they apply across different business models.

Terms of Service (ToS)

Purpose: A Terms of Service agreement (also called Terms and Conditions or Terms of Use) governs how users can interact with your website, app, or online platform. It establishes the rules of engagement and protects your business from liability.

Common Provisions:

  • User responsibilities and acceptable use
  • Account creation and termination policies
  • Payment terms and subscription billing
  • Disclaimers of warranties and limitation of liability
  • Dispute resolution and governing law

Business Types That Need It:

  • SaaS providers
  • Marketplaces and e-commerce sites
  • Content and subscription-based platforms
  • Mobile and web applications

Well-drafted ToS agreements help limit legal exposure, reduce the risk of misuse, and provide recourse if users violate your policies.

Privacy Policy

Purpose: A Privacy Policy discloses how your Houston business collects, uses, stores, and shares user data. It’s not only a best practice—it’s legally required under state, federal, and international laws if you collect personal information from users.

Key Requirements:

  • Clear explanation of data collection practices
  • Use of cookies and tracking tools
  • Data sharing with third parties
  • User rights (e.g., access, deletion, opt-out options)
  • Security measures and data retention policies

Legal Compliance:

  • U.S. Laws: CCPA (California), COPPA (for children), and state-specific laws
  • International Laws: GDPR (EU), PIPEDA (Canada)
  • Third-Party Services: Required by platforms like Google Analytics and payment processors

Any business that collects names, emails, IP addresses, or user behavior must have a legally compliant Privacy Policy.

End User License Agreements (EULAs)

Purpose: An EULA governs the licensing of software or digital products to users. It outlines the rights and restrictions associated with using your product.

Key Provisions:

  • License scope (e.g., personal vs. commercial use)
  • Prohibited uses (reverse engineering, redistribution)
  • Ownership of IP
  • Termination of access
  • Warranty disclaimers

Applies To:

  • SaaS tools
  • Downloadable software
  • Mobile or desktop apps
  • Gaming platforms

EULAs are critical for businesses that want to retain IP rights and control how their digital products are used.

Subscription and Payment Agreements

Purpose: If your business uses a recurring revenue model, you’ll need clear agreements that define billing cycles, pricing, refunds, and cancellations.

Key Elements:

  • Automatic renewal terms
  • Refund and chargeback policies
  • Cancellation process
  • Taxes and fees
  • Late payment penalties

This is especially important for:

  • Subscription box services
  • SaaS and digital content platforms
  • Membership-based communities

Transparent payment terms reduce disputes and improve customer satisfaction.

Affiliate and Influencer Agreements

Purpose: If you work with third parties to promote your brand or earn commissions, formal affiliate or influencer agreements help ensure legal compliance and brand protection.

Must Include:

  • Compensation and payment terms
  • Content guidelines and brand usage rules
  • FTC disclosure requirements
  • IP ownership of created content
  • Termination and exclusivity clauses

Ideal for:

  • E-commerce businesses
  • Online course creators
  • Influencer-driven platforms

These agreements help you comply with advertising laws and maintain control over your brand image.

Service-Level Agreements (SLAs)

Purpose: SLAs define the scope, expectations, and performance benchmarks for service providers or technology platforms.

Covers:

  • Uptime guarantees
  • Support response times
  • Maintenance schedules
  • Remedies for service failures

Used by:

  • SaaS platforms providing mission-critical services
  • Hosting providers
  • B2B tech companies

SLAs build trust with users and set clear expectations for performance and accountability.

Choosing the Right Agreements for Your Online Business

Not every online business needs the same set of documents. The type and scope of agreements depend on factors such as:

  • Whether you sell products, offer services, or license software
  • Whether you collect personal or financial data
  • Your target audience (e.g., children, international users)
  • Your monetization model (ads, subscriptions, e-commerce)

At Capstone Legal Strategies, we provide tailored legal agreements that reflect your business goals, minimize liability, and help you stay compliant with ever-changing regulations.

Future-Proof Your Online Business

As your internet-based business evolves, so should your legal agreements. Outdated or generic templates leave you exposed to unnecessary risks. Whether you’re launching a startup or scaling an established platform, our legal team can help you develop and maintain the agreements you need to operate securely and successfully.

Contact Capstone Legal Strategies today to schedule a consultation and get legal support designed for the digital world.

About the Author
Anthony Choueifati graduated from the University of Houston with a B.A. in Psychology in 2002 and from South Texas College of Law, receiving his Juris Doctorate in 2005. His 19+ years of experience plays a significant role in advising clients, whether that involves forming business entities, complex partnership agreements, contract drafting and negotiation, estate planning, or mergers and acquisitions. Anthony enjoys meeting business owners of all types and strives to form long-lasting relationships with his clients. Anthony is married, has two children, and enjoys golf and traveling.