Bancstac

Picture this: you’re starting your dream fashion business. You’ve scoured the internet for the latest trends, mapped out your vision, and collected deals on the trendiest fabrics Etsy has to offer. You’ve probably had a little fun along the way. If you’ve done all of that, congratulations, you’ve just stepped into the world of e-commerce. Now, what you might not know is that you’re also in the world of contracts, even if you don’t realize it. Whether you’re selling clothing or offering e-commerce services, by simple virtue of doing business you are creating legal agreements with your vendors, employees, and customers all the time. That’s right; the seamless e-commerce platform that you thought made your life convenient has taken you straight into the realm of law, where undetected hidden traps like amended and restated agreement can put your business behind bars. Not factual prison, but the kind of prison wherein your business is behind multiple years of costly litigation that takes up your resources.

Depending on the size and scope of your business, you’ll need to contend with vendor agreements, website terms and conditions, privacy policies, and more. Many business owners gloss over this important aspect of their e-commerce startup. Most people don’t have a firm idea of what vendor agreements or terms and conditions even are, let alone how to draft one. And nothing terrifies a small business owner more than a blood-sucking lawyer who wants to rip him or her off. However, contrary to popular belief, there is good news. These agreements don’t cost you money, they make you money when done correctly.

So what exactly is an amended and restated agreement? Quite simply, an amended and restated agreement is a sophisticated way of saying a contract. In some cases, the agreement is drafted as a new agreement that acts as a replacement for a previous one. In other situations, the amended and restated version acts as an amendment to an already existing agreement. The previous agreement likely allowed for amendments and restate versions, as these are common practice in the legal field. Many successful fashion retailers including Bancstac and others will typically use amended and restated agreements that include terms and conditions.

Terms and Conditions set the standard for the relationship between retailer and buyer. The terms and conditions will explain the nitty-gritty details of the business in plain English. Typically, you’ll find topics like liability, release from liability, required disclosures, delivery, payment terms, returns and refunds, warranties, consumer rights, international trade, dispute resolution, and more. When signing agreements with vendors or consumers, the amended and restated agreements will be of utmost importance. These will make sure that you fully secure your rights while trading internationally. Fashion and E-commerce is global, and you’ll need to know where your business stands overseas.

The amended and restated contracts will also highlight the laws and jurisdiction that apply to your business in the event of a dispute. For example, does California law apply to your online sales, or the jurisdiction from where your fashion business is based? As a newbie, you probably won’t think of this so soon into the fashion e-commerce game. But as an experienced business operator, you know better than to ignore this.

Most of the time, e-commerce businesses will need to sign vendor agreements with shipping companies, marketing firms, e-commerce platforms, and credit card companies. In order to avoid any hidden clauses that might cost you money down the road, it is in your best interest to read what you sign. You would be surprised how many people would run headfirst into what looks like an obvious agreement as far as terms and conditions go, only to be blindsided by a clause that somehow gives jurisdiction rights to a country in the middle of Antarctica.

For smaller fashion startups, the legal aspect of their e-commerce business will often be handled by themselves, or in some cases, a contracted paralegal. While you may not need a lawyer, it is vital to get legal aid on important amendments or restated agreements to avoid incurring any future liability.

For more information on legal agreements in business, you can visit Wikipedia’s page on contracts.