Why should you include terms and conditions in your promotions?

Nowadays, the number of promotions and giveaways online, and even more so on social networks, is huge.

And this is largely due to the ease with which they can be organized, the fact that they reach a wide audience and the high rate of customer loyalty that these types of promotions have.

However, when making this type of proposal to your audience, legal issues often go unnoticed.

Why don’t we pay attention to the creation of terms and conditions for our giveaways and promotions?

This happens, for the most part, for three reasons:

• Lack of knowledge: not having any idea of the risks of not having a legal framework for your promotions.

• False confidence: believing that in a simple giveaway or promotion there will be no inconveniences.

• Lack of desire or time: laziness to generate complete legal bases adapted to your business and promotion.

Unfortunately, for the first two we do not have a solution at hand, but, for the third one, we offer you a tool that will come in handy: The Legal Terms generator.

Now, let’s talk about the importance of having this “Terms and Conditions” section in any promotion your business carries out.

Benefits of generating and having legal bases for your giveaways and promotions

Legal protection

• The legal bases set out the rules and conditions of the promotion, which provides legal protection to both the organizing company and the participants.

• It avoids possible legal conflicts by clearly stating the terms of participation and the rights and responsibilities of both sides.

Transparency and fairness

• Provides transparency in the selection process and awarding of prizes, which generates confidence among participants.
• Guarantees a fair and equitable competition by establishing clear and objective criteria to determine the winner.

Regulatory compliance

• The legal basis helps to comply with applicable laws and regulations regarding promotions and giveaways, such as consumer protection and personal data protection.
• It ensures that the promotion is carried out in accordance with local, state and federal laws and avoids possible legal penalties.
• Additionally, it is important to take into account the regulations of each social network. For Meta here you have where to consult. And here for TikTok.

Limitation of liability

• It establishes the exemption of responsibility of the organizing company in case of unforeseen incidents or incidents beyond its control, such as technical problems or errors in the social media platforms.

• Protects the brand hosting a giveaway from potential claims and lawsuits related to the promotion.

Effective communication

• The legal bases allow participants to clearly communicate the requirements, restrictions and conditions of participation.

• It helps to resolve any doubts or conflicts by having a clear and accessible reference document for all interested participants.

• Unfortunately, there is an increase of fake accounts pretending to be the account organizing the giveaway or promotion and making participants believe that they have won. If you specify in the legal bases of your promotion how the winners will be communicated, you will avoid deception and improve the reputation of your brand. There is also a point in our editable legal bases that covers this aspect.

These are the benefits of creating and making available to your audience the terms and conditions of your promotions, so that everything is clear before executing them. If you still have doubts, we recommend you seek legal advice from a lawyer specialized in these matters, it never hurts!