What Do Affiliate Agreements Cover?

The key provisions addressed in most Affiliate Agreements are as follows:

Enrollment. Sites usually have prospective affiliates submit an application. The main reason for this is to weed out sites that promote violence or contain sexually explicit materials.

Links. The agreement should spell out what types of links will be provided to the affiliate — a product link, a search box link, or some general text link.

Tracking. The agreement should spell out how the referred customers will be tracked and reported.

Referral fees. The precise referral fees should be spelled out.

Payment terms. How often are the referral fees to be paid? (Quarterly or monthly payments are typical.) Often there is a provision that a check will not be sent until at least $100 in referral fees are accrued.

Customers. Most agreements provide that the customer is "owned" by the e-commerce site where the product or service is bought. This means that all information about the customer is the sole property of the e-commerce site.

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