Use a Domain Contract for Domain Sales |

Use a Domain Contract for Domain Sales


Subscribe to Elliot's BlogFor a variety of reasons, I think it’s important that domain buyers and sellers use contracts when moving forward with a domain sale. It’s probably more important for the buyer to have an agreement, but both buyers and seller should use one – even if the escrow service you choose to use has an agreement, as I don’t believe it covers anything related to the actual domain name.

Like many other domain investors I know, I sometimes am lazy about getting a domain agreement, especially on a lower value deal. When dealing with non-domain investors, submitting a contract for review can be a hurdle, as many people are leery of a contract, and some will want to have a legal review done by their attorney, which can take some additional time and add additional costs to one or both parties.

When dealing with domain names that might not be considered completely generic, I strong recommend using a domain contract to add an extra layer of protection. Any domain or contract attorney can probably provide one to you at little cost, which can be used as a template for all of your purchases and sales going forward.

Some things you may want included in the contract include:
Terms of Sale
No Legal Problems with Domain
Any Encumbrances on Domain
Non Disclosure Agreement

About The Author: Elliot Silver is an Internet entrepreneur and publisher of Elliot is also the founder and President of Top Notch Domains, LLC, a company that has sold seven figures worth of domain names in the last five years. Please read the Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest.

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Comments (5)

    Credit Processing

    If you are purchasing a domain yes. If you are selling, why open yourself up to potential liabilities?

    November 12th, 2008 at 6:15 pm


    Would be great if one or more of the domain attorneys out there could comment on this. How much do they charge? Is there a basic template agreement that can be used? etc.


    I had a custom agreement made that I use for my transactions, which was created by Brett Lewis of Lewis & Hand. It wasn’t too expensive, but I don’t remember the amount off the top of my head.

    November 12th, 2008 at 7:28 pm

    Credit Processing

    Why’d you remove the URL in my username? If you thought my comment was spammy, delete it.


    Your comment wasn’t spammy, but you’ve never gone by “Credit Processing” before and I recognize from your email address that you’ve commented before. Usually I don’t mind as much if the url is at least related to the domain industry.

    November 13th, 2008 at 12:34 am


    If anyone needs deal closing, structuring and consulting services in this regard you can contact me. I handle all kinds of domain transactions from the smallest to the largest and everything in between.

    You really don’t want to use the same deal structure, agreement or closing terms for every deal. Every deal has different components of risk and liability that have to be weighed and evaluated. Some deals it’s actually safer to not have an agreement at all, especially if you are the seller.


    November 13th, 2008 at 5:15 am

    Chef Patrick -

    Elliot you nailed it “lazy about getting a domain agreement”. This needs to be a normal practice for any domain sale, I would say over $500-$2000. I give a range because some domainers are used to selling $5000 names all day and to do a contract on a $500 name may be a waste of time.

    Would you be willing to share your contract Elliot? If so, you know my email address:

    Kevin, if Elliot doesn’t play nice and share I will be emailing you very soon :)

    November 16th, 2008 at 12:03 am

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