What should customer terms clearly explain before acceptance?

State the service, customer duties, price, and payment terms clearly.

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  1. The deal and payment obligations ✔
  2. Only the company's marketing claims
  3. Terms revealed after purchase

Why: Terms of service should let a customer understand what is offered, what each side must do, and when payment is due. Applicable consumer and state laws can limit contract wording.

Huh, didn't know that: Under federal warranty law, a service contract must list all its terms conspicuously in simple, readily understood language.

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Why did the contract use plain language? It wanted clear terms.
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References

Answer: The deal and payment obligations. Terms of service should let a customer understand what is offered, what each side must do, and when payment is due. Applicable consumer and state laws can limit contract wording.

  1. FTC Businessperson's Guide to Federal Warranty Law www.ftc.gov/business-guidance/resources/businesspersons-guide-federal-warranty-law
    list conspicuously all terms and conditions in simple and readily understood language
    Checked 2026-10-11.

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