Website Development Contract: What to Check Before Signing
A website development contract matters on exactly two occasions: when the project goes badly, and when the relationship ends. Both are foreseeable, and a handful of clauses determine how much they cost you.
This guide covers what to check before signing, what each clause is protecting you from, and the terms worth negotiating.
Ownership: the clause that cannot be fixed later#
Everything else in a contract can be renegotiated. Ownership cannot, once the relationship has ended badly.
- You own the source code on final payment, with no ongoing licence condition.
- The domain is registered to your organisation, with your billing details — not the developer’s.
- Hosting and third-party accounts are in your name, with the developer added as a user.
- Content, images and copy you supplied remain yours; ask about anything they create.
- Third-party licences — fonts, plugins, stock images — are transferred or listed so you can buy your own.
- If any code is licensed rather than owned, that is stated explicitly with its terms.
- On termination you receive the code, the database and the credentials within a stated period.
"You own the code once the final invoice is paid" is the sentence to look for. "We grant you a licence to use the site" is a different arrangement and you should know you are choosing it.
Scope, changes and revisions#
Most disputes are scope disputes wearing another name. These clauses decide who pays for the disagreement.
| Clause | What to look for |
|---|---|
| Scope of work | A specific list, attached as a schedule, not a paragraph |
| Out of scope | An explicit exclusions list — content, photography, entry, SEO |
| Change process | Who requests, who prices, how it is approved, effect on the date |
| Revision rounds | A number, and the cost of a further round |
| Acceptance | What counts as approval, and how long you have to review |
| Client obligations | What you must supply, by when, and the effect if it is late |
| Delay | What happens on both sides — this should not be one-directional |
Payment, launch and support#
Payment tied to things you can see protects both parties; it is not an adversarial request.
- Milestone payments against deliverables you can inspect, not against dates alone.
- A deposit of 30–50% is normal; full payment before work starts is not.
- Final payment on launch, not on an internal sign-off you cannot verify.
- A defined post-launch period for fixing defects — commonly 30 to 90 days — and what a defect means.
- The difference between a defect (they fix it) and a new request (you pay) stated with examples.
- Response times by severity, if the site being down matters to your business.
- Whether maintenance is included, optional or absent — and its price if you take it later.
Termination and the things people forget#
The clauses that only matter once, and matter a great deal then.
| Item | Why it matters |
|---|---|
| Notice period | Both sides should be able to exit with reasonable notice |
| Payment on termination | What is owed for work completed but not delivered |
| Handover | Code, database, credentials and documentation, within a stated period |
| Liability cap | Usually the contract value; know what it is |
| Data protection | Required if they process personal data on your behalf |
| Confidentiality | Mutual, and it should survive termination |
| Portfolio rights | They will want to show the work; agree the terms now |
| Governing law | Matters a lot with an overseas supplier |
| Dispute process | Mediation before litigation saves money on both sides |
A supplier who is comfortable with a clear termination clause is usually a supplier who expects the relationship to go well. Resistance to it is worth asking about.
Frequently asked questions
Do I need a lawyer for a website contract?
For a small project, a clear written agreement covering the points above is usually proportionate. For anything substantial — a store, an application, or a build that would seriously hurt to lose — a couple of hours of legal review is cheap against the value at risk. At minimum, have someone who is not enthusiastic about the project read it.
Is it normal for the developer to hold the domain?
It is common and it is not in your interest. The domain should be registered to your organisation with your billing details; add the developer as a technical contact if they need access. Domains held by a former supplier are one of the most reliably painful situations in this industry.
What is a reasonable deposit?
Thirty to fifty per cent, with the balance across milestones and launch. A deposit is legitimate — it covers the supplier’s risk of you disappearing. Full payment in advance moves all the risk to you, and offers no leverage if the work stalls at eighty per cent.
What if the project runs late?
The contract should address delay on both sides, because it is very often caused by content or decisions from the client. Look for a clause that distinguishes them and states the consequence. Penalty clauses sound reassuring and usually just raise the price, since the supplier prices the risk in.
website development contractweb design contractcode ownershipwebsite agreementscope of workdeveloper contract checklist
