Are Terms and Conditions Copyright Protected?

Terms and conditions are often found on websites or apps and during online purchases. They outline user responsibilities and help protect businesses from legal risks, but are these terms and conditions protected by copyright?

If you’ve invested resources to create your own terms and conditions for your business or website, only to find it copied by another company, you may wonder if legal action for copyright infringement is possible.

Copyright law safeguards original works such as books, music, and software. However, when it comes to legal documents, the rules are not always clear, leading to confusion for business owners, legal professionals, and content creators.

This article explores whether terms and conditions are protected under copyright law, how the law applies to legal texts, and steps you can take to protect your business documents.

KEY TAKEAWAYS:
  • Terms and conditions may be protected by copyright if they are original and contain creative expression rather than purely functional legal language.
  • Copying another site’s terms and conditions without permission risks copyright infringement claims, legal penalties, and reputational damage.
  • Businesses can enhance terms and conditions protection through copyright registration, notices, disclaimers, and custom content tailored to their operations.

Are Terms and Conditions Copyright-Protected?

Yes, terms and conditions (T&Cs) can be protected by copyright, but only if they meet the requirement of originality under copyright law.

According to 17 U.S. Code § 102, the copyright act protects “original works of authorship” that are recorded in a tangible form. However, this protection has limits when applied to T&Cs.

Many T&Cs contain standard legal language, such as disclaimers, liability clauses, and privacy notices, which are considered factual and functional rather than creative. The US Copyright Office states that copyright law does not protect facts, procedures, or legal requirements.

That said, if you write your own terms and conditions document with unique language, structured thoughtfully, or contain creative elements, they may qualify for copyright protection. However, this protection does not prevent others from using similar legal concepts or common legal phrases.

What Makes Terms and Conditions Eligible for Copyright Protection?

Several factors come into play when determining whether a terms and conditions agreement is eligible for copyright protection. Below are the key considerations:

An infographic showing the 4 key factors that make terms and conditions copyrightable on a light yellow background.

1. Originality

A work must be original to qualify for copyright, meaning the author must independently create the content with a minimal amount of creativity. If your terms and conditions include entirely standard or legally required clauses, they may not meet this threshold.

However, if your T&Cs include distinct language, creative structure, or personalized style, they could qualify for protection. For instance, a uniquely worded refund policy might be eligible, whereas a generic liability waiver likely would not.

2. Expressive vs. Functional Content

According to the copyright act, copyright does not protect “ideas, procedures, processes, systems, methods of operation, concepts, principles, or discoveries.” Since many T&Cs focus on functional legal requirements, much of the content may not be copyrightable.

However, the way these rules are expressed can still be protected. A creative explanation of a company’s data protection policies may qualify, even though the underlying rules do not.

3. Fixed in a Tangible Medium

To be protected, the content must be “fixed in a tangible medium of expression,” meaning it must exist in a readable format, such as a webpage, PDF, or printed document. If your T&Cs are only verbal or not documented, they do not meet this requirement.

4. Combination and Arrangement

Even if individual clauses lack originality, the unique combination, organization, and structure of T&Cs can be protected. Courts have recognized that compilations of unprotected content may qualify for copyright when presented in a distinct and creative manner.

For example, arranging T&Cs to enhance readability or improve user experience might provide limited protection for the document’s layout.

Can You Copy Terms and Conditions from Another Website?

No, you should not copy terms and conditions from another website without permission.

While certain legal concepts and standard clauses are not protected by copyright, the specific wording, structure, and creative elements of T&Cs may be copyrighted. Copying them without permission can lead to legal risks.

Here are key risks to consider if you simply copy someone else’s terms and conditions:

  • Copyright Infringement: 17 U.S. Code § 501 prohibits unauthorized copying of protected content. If the original author can prove their T&Cs meet the originality requirement, you could face a copyright infringement claim.
  • Inadequate Protection: A copied legal agreement may not suit your business’s legal needs. They might contain provisions irrelevant to your services or fail to comply with local laws, leaving your business vulnerable to legal disputes or liability.
  • Outdated or Non-Compliant Terms: Regulations change frequently. Copying T&Cs from an outdated or non-compliant source can introduce obsolete or illegal terms into your document. This can create significant risks, particularly in areas like consumer protection and data privacy.
  • Breach of Contract Risk: Terms copied without proper review may contain contradictions or gaps that make them unenforceable. If a court invalidates one clause, it could affect the enforceability of the entire agreement, leading to further legal challenges.
  • Reputational Damage: If your business is found to have plagiarized its T&Cs, it can hurt your reputation. Customers, competitors, or legal experts may see this as a lack of professionalism, damaging your credibility and trustworthiness in the market.

Legal Consequences of Copyright Infringement on Terms and Conditions

If you infringe on the copyright of another website’s terms and conditions, the copyright holder can take legal action. These actions may involve both legal orders and financial penalties. Below are the potential consequences.

Cease-and-Desist Letter

If you use someone else’s terms and conditions, the copyright holder may start by sending a cease-and-desist letter demanding that you stop using the infringing material immediately.

This letter serves as an opportunity to resolve the issue before further legal action is taken. Ignoring it could result in a formal lawsuit.

Damages for Unauthorized Use

In copying another business’s terms and conditions, 17 U.S. Code § 504 allows the copyright holder to seek damages, which can be either:

  • Actual damages: Compensation for financial harm caused by the infringement.
  • Statutory damages: If actual damages are difficult to calculate, statutory damages range from $750 to $30,000 per work. For willful infringement, this amount can increase to $150,000.

Injunctions

Under 17 U.S. Code § 502, the court may issue an injunction to stop you from using the infringing material. This court order could require you to immediately remove the T&Cs and prevent any further use.

Legal Fees and Costs

17 U.S. Code § 505 allows courts to award legal fees and court costs to the winning party. If you are found liable for copying another company’s terms and conditions, you may have to cover the plaintiff’s legal expenses, which could be substantial.

Reputation and Business Impact

Even without severe financial penalties, a copyright violation can harm your reputation. Customers and stakeholders may view your business as unethical or non-compliant with the law, leading to a loss of trust and credibility.

How to Protect Your Terms and Conditions

While copyright law offers protection for your terms and conditions, there are steps you can take to strengthen that protection and discourage unauthorized copying. Below are strategies to safeguard your T&Cs:

Register Your Copyright

Copyright protection is automatic. However, registering your T&Cs with the U.S. Copyright Office improves your legal position.

Registration is required to pursue statutory damages and attorney’s fees under 17 U.S. Code § 411. It also serves as formal evidence of ownership in court.

Use Copyright Notices

Adding a copyright notice at the bottom of your T&Cs can deter potential infringers. While not legally required, it serves as a visible warning of your rights. Here’s how you can write your copyright notice:

© [Year] [Your Company Name]. All Rights Reserved.

This notice reminds users that the content is protected by copyright.

Include a No-Copying Disclaimer

You can add a clause in your T&Cs stating that reproduction or unauthorized use is prohibited. Here’s an example:

“These terms and conditions are the intellectual property of [Your Company Name]. Unauthorized use or reproduction is prohibited.”

This statement may strengthen your case if you take legal action.

Use Digital Protections

For online documents, you can apply technologies to make copying more difficult, such as:

  • Digital watermarking: Embeds identifiable information in the content.
  • Anti-copy scripts: Disables right-click copying or text selection on your website.

While these measures aren’t foolproof, they can reduce casual theft.

Monitor for Unauthorized Copies

Regularly check for copies of your T&Cs using tools like Google Alerts or plagiarism detection services. If you find unauthorized use, you can send a cease-and-desist letter to request that the infringing material be removed or modified.

Customize Your Terms and Conditions

Tailoring your T&Cs to your business makes them less likely to be copied. Creating customized terms and conditions with creative, business-specific terms is harder to replicate without violating copyright laws.

Frequently Asked Questions

What parts of terms and conditions are not protected by copyright?

Functional content like facts, procedures, and legal requirements are not protected by copyright.

What happens if someone copies your terms and conditions?

Suppose someone copies your terms and conditions, terms of use, terms of service, or even privacy policies. In that case, you can pursue legal action, including cease-and-desist orders and damages, if your terms meet the copyright’s originality standard.

Is there a public domain version of the terms and conditions you can use?

Yes, there are terms and conditions templates, terms and conditions generators, and publicly available versions, but ensure they meet your specific legal needs before use.

How can you create copyright-compliant terms and conditions?

Use original language, creative structure, and business-specific content to increase eligibility for copyright protection.

What is the difference between copyright protection and legal enforceability of terms and conditions?

Copyright protects original expressions, while enforceability depends on the content meeting legal policies and regulatory standards.

Rae Marie Manar
Rae Marie Manar is a licensed lawyer with a Juris Doctor degree, specializing in copyright, data privacy, and intellectual law. With a wealth of education and expertise, she aids clients in going through the intricacies of these laws, guiding them through the legalities, processes, and requirements tailored to their personal and business needs.