Terms of use talk about the user’s responsibility in using your website. It talks about copyright, linking, security, intellectual property rights, tone of comments and acceptance of the terms. The terms of use are most critical if you have a site that has user-generated content (i.e. commenting, wiki or message board). The privacy policy can be included in the terms of use if you would rather not have two separate pages, but it is advisable to keep them separate as this makes it easier for users to find your privacy policy.
Most sites have some way of taking in information, and in some cases that information is used within the site content. It is therefore very important to include a privacy policy and terms of use in any site you create. These two pages provide you the opportunity to make your users aware of what their responsibilities are, and what your promises are.
There are plenty of internet resources which will give you the basics for a good Terms of Use policy. We advise building this page based on the recommendations of the Better Business Bureau and governed by PCI compliance.