What legal issues do I need to consider, how do I structure my Terms of Service and what's included in a Privacy Policy? These are a few common questions I'm asked by concerned business owners who I support in my programs. Obviously, as I'm not a trained lawyer I can not give advice in this area, however, that doesn't mean sticking our heads in the sand is a good idea either.
The fact is that occasionally things do happen. The pandemic is one such out-of-the-ordinary event that no one could have predicted but since then everyone has been racing to get their Terms of Service updated in a way that helps make cancellations and refunds a smooth process in the face of a challenging situation.
So I was delighted when Amy Saunders approached me to help out. Amy is a Principal at the international commercial law firm Support Legal and has been advising travel and tourism businesses on legal issues for many years.
Amy is also in the process of setting up her own tourism business and therefore understands the struggles involved for new owners trying to make sense of the legal quagmire. As a result, I asked her to share some of the most frequent legal issues for glamping businesses or unique holiday rentals.
This is not intended to be legal advice or an exhaustive list of issues and should not replace the advice of a good lawyer. The issues have been considered from a UK (English law) perspective, but there are similar themes in other jurisdictions.
Starting any business can be overwhelming, but for glamping site owners, the myriad of legal issues to consider can be daunting for even the most commercially astute.
This article covers the top 5 legal issues for glamping business owners, as follows:
There are a few options available to potential glamping business owners considering setting up their business in the UK:
In terms of legal structures, there are various options with pros and cons of each, these include:
Obviously, there is no one-size-fits-all approach, but limited liability (either by setting up a limited liability company or partnership) is usually preferred.
You can read an interesting summary of the various models here: Choosing the right business structure - Companies House
Sometimes combining forces with others is the more effective way to get a business off the ground in terms of risk and cost. Whether you’re partnering up with a friend, family member, franchisor or local landowner, it’s always worthwhile having a clearly documented legal arrangement in place.
Some of the options we see are set out below:
Of course, there are other models (including investment by third parties), but this should provide some inspiration for options.
In addition to the agreements mentioned above (e.g., documenting partnerships), we recommend every business has the following legal documents in place:
Sometimes business owners also request that their customers sign a release of liability (occasionally referred to as a liability waiver) to protect the business owner against liability for personal injury claims. These waiver letters are often unenforceable, face scrutiny by the courts and should never replace risk assessments, caution or insurance! If you do decide you’d like a document like this in place, it should always be drafted by a legal professional.
In addition to the above, glamping businesses should also regularly risk assess their businesses and keep detailed records of such assessments. This isn’t just a ‘box ticking’ exercise – it will keep your customers safe and potentially provide you with a defence if you are ever caught up in a claim and you have done all you can to keep your guests and staff safe. Potential hazards include fires, slipping, falling and other injuries. Of course, Covid19 has brought a whole new level of risk assessing to glamping businesses (probably one for another blog post)!
Data protection compliance can feel daunting, but it really isn’t something to be afraid of if you familiarise yourself with relevant legislation. However, compliance does go further than simply having a privacy policy and as a business owner, you really should be familiar with the requirements, as breaches attract significant penalties and reputational impact. Always seek legal advice if in doubt – it could be a significant cost saving in the long run.
The Information Commissioner's Office publishes some very useful guidance, checklists and self-assessment tools. We urge you to review the guidance and take any requests from guests re data seriously. You may also have received a letter about paying a data protection fee to the ICO – this letter is genuine and unless you are exempt (unlikely) then prompt payment is advised. For organisations | ICO
Without going into too much detail on the relevant legislation, some of the issues that glamping business owners should consider (and if necessary) seek advice upon, include:
We hope you found this summary of key considerations helpful.
Amy Saunders is a Principal at the international commercial law firm Support Legal. If you’d like any further support (including with drafting your legal documentation), Amy can be contacted at [email protected] or http://www.supportlegal.com.
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