Seller Beware: Online course or program owner protection

It’s not uncommon for me to have conversations with people looking to get their legals done for their online course or program. What is interesting though is how often there is confusion about whether people believe they have an online course or program. The distinction between the two is important because there are different expectations and risks, depending on the methods used to provide coaching, training or education online. To have the legals covered properly, my team and I need to determine what they actually have.

After several conversations, I dug deeper and have determined the distinction between the two online offerings. I’ve also detailed the issues that can arise for both offerings as well as what to include in the terms and conditions of sale to ensure you are covered on all fronts.

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What’s the difference between an online course and an online program?

An online course is where pre-recorded content and information is available online. Generally speaking, an online course provides self-paced or drip-fed video content, without live coaching calls or group coaching calls. Online courses may also include access to additional resources, and is sometimes referred to as a container (like a repository or knowledge centre).

An online program however, has the key difference of having additional group or personal coaching or mentoring. in addition to any online video content and resources. There is almost always an element of one on one coaching and/or group calls with people who describe their offering as an online program or container.

When you offer an online course, it is content that can be accessed and consumed independently. When there are additional elements that involve online interaction with one or more people (where it becomes an online program), this is where you as the provider have extra responsibilities. With added responsibility comes added risk, so variations in the terms and conditions you attach to your course or program are necessary.

Common issues for online course & online program creators

In our daily work we help people either fix an issue that has arisen and tighten up their legals to help them avoid these problems in the future, or we give them a solution that covers the typical issues that need to be addressed. When it comes to online courses and online programs, here are some of the issues we see creates stress and frustration:

Participants wanting things not included in the program;
Participants wanting only part of an online course or program (and want to pay only part of the total cost);
The expectation of guaranteed results;
Participants having accessibility issues that are out of your control (e.g. poor internet, difficulty accessing Zoom meeting rooms, participants banned from Facebook so cannot access group discussions);
Installment payments not being met;
Where participants use your materials in their own business or share materials without permission;
Participants sharing confidential information from online one-on-one or group discussions/meetings
Participants not attending agreed calls/meetings or completing tasks; and
Participants requesting a refund.

It is important for all of these elements to be covered and communicated at the time of purchase. Then, if any of these issues arise that you aren’t prepared to negotiate on, you can point people to the terms and conditions they agreed to upon signing up.

What to cover in your online course or program terms and conditions

If you have an online course, or are planning to create one, here is what you need to ensure you are adequately protected:

Create a contract (or terms and conditions) with your course participants that:

ensures you are protected against refund requests
details any installment plan payments/options
has disclaimers in place for your use of third-party platforms in the event they fail (e.g. your course or program hosting platform or platforms like Facebook, Zoom, Teams, Stripe or Paypal)
protects your intellectual property to make sure participants do not copy or redistribute your program material;
details the way the course or program will be delivered and disclaimer against any third-party platform you deliver it on (such as Facebook) cannot be accessed by the participant
details how you will deliver of physical products - if you send out materials or physical items to your participants (optional extra)
limits your liability by way of disclaimers and ensure you do not guarantee any outcomes from the purchase of your course or program
sets out what users of your platforms can post and provides you with the discretion to discontinue a participant that does not respect your terms and conditions; and
states where you can enforce the contract - very important if you have overseas participants.

And additionally, for online programs, the contract will also need to:

cover off any expectations relating to outcomes as a result of one-on-one or group coaching
cover off any accreditation that follows from your program
cover off confidentiality issues that may arise from group calls and sharing confidential information with other program participants

Additional considerations

It is incredibly important for participants to be aware of your expectations. While you must have participants agree to the terms and conditions at the point of purchase, it’s also important that you support these terms through your other communications, whether verbal, written or both. This is the best way to ensure that everyone is on the same page and can save you from having to have some of the more challenging conversations that are sometimes required.

In the event you wish to promote your program and use a participant’s image or comments, permission needs to be sought. If this is something you think you will want in the future to promote your course or program, a social media release or photography release form is what you will need. It’s always good business practice to seek permission before releasing any content like this. Verbal consent isn’t sufficient so ensure you document their consent.

The final consideration I recommend is, it is important you do not over-represent the outcomes or results of participation in your course or program. Make sure you are clear about what you are offering, and if someone has needs beyond that, make it clear that they will need to consult a professional, or seek individual coaching. Managing expectations on all fronts is a key element to the smooth running of any online course or program.

Now that you are up-to-speed on some of the common issues that arise, consider whether the terms and conditions you have will be sufficient when one of these issues arises.

Ensuring your terms and conditions are comprehensive will minimise the inevitable bumps in the road. After all, one of the key benefits of a one-to-many business model like online courses and programs, is to create a streamlined income stream. There’s no time like now to fill in the proverbial potholes, so you can enjoy a smoother road ahead.

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At Ready to Boss Legal, we have templates for both online course terms and conditions and online program terms and conditions. If you would like a customised version, get in touch with Emma for a free initial consultation by clicking here.