Disclaimer for an EA

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Darren Messenger
22
Darren Messenger  
I am currently writing an EA for a fee for someone that I don't know, and my wife is worried that if it goes wrong and he losses lots of money because the EA malfunctions he could sue me! Does anyone know if it is possible to be sued in this situation, and is there some sort of disclaimer I can add somewhere? 
Sergey Golubev
Moderator
106099
Sergey Golubev  

Disclaimer? I do not know ...

You are coding the manual trading system/idea which was developed/elaborated by your client, right? Coding according to his idea?
In this case - he is responsible for his own losses.

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You can use Freelance service for example.
This is from Freelance service rules

Execution of Orders

  1. An Order passes through the following execution steps:
    1. Work Agreement
    2. Requirements Negotiation
    3. Prototype/Model
    4. Demonstration
    5. Work Acceptance
    6. Payment
  2. At each step, the Customer and the Developer shall confirm the fulfillment of their obligations on this step.
  3. Only after the confirmation of both parties involved in the Order, they can go to the next step.
  4. Only one Developer can be selected for each Order.
  5. Upon the completion of step Requirements Negotiation, on the Customer's account, a sum of money will be locked in to cover the Order payment after the completion of step Work Acceptance.
  6. Payment for the completed Order will be made automatically from the Customer's account to the Developer's account after the Customer confirms the step of Work Acceptance.
  7. In case any disputes arise out of the Order execution, any of the parties may request arbitration to resolve the conflict.
  8. During arbitration, the basis for decision making is only the Requirements Specification.

and - 

Arbitration Order 

  1. If dispute arises between the Customer and the Developer, which cannot be solved without the involvement of a third party, any of the parties may apply to arbitration.
  2. Arbitration of disputes is based only on the Requirements Specification and system comments on the confirmation of each step.
  3. If necessary, outside experts may be involved and additional materials may be requested. The decision of such a necessity is taken by the resource Administration.
  4. The situation in arbitration is discussed and the decision is made directly in the relevant Application.
  5. The decision of the arbitration shall be final and binding both for the Customer and the Developer.
  6. The arbitration may make one of three decisions:
    1. To complete the job in favor of the Developer: 100% of the amount blocked for a job in question is deducted from the Customer's account, while 90% of this amount is transferred to the Developers account and 10% is the service commission. The job is classified as "Completed" and the feedback can only be given by the Developer.
    2. To cancel the job in favor of the Customer: 10% of the amount blocked for a job in question is deducted from the Customer's account, while the remaining 90% is released; no amount is transferred to the Developer's account and the service commission is 10%. The job is classified as "New" and becomes available to new Developers; the feedback can only be given by the Customer.
    3. To lay the blame for the situation on both parties and split the money in half: 50% of the amount blocked for a job in question is deducted from the Customer's account, with the remaining 50% being released; the Developer receives 40% of the amount specified in the Agreement and 10% is the service commission. The job is classified as "New" and becomes available to new Developers; the feedback can be given by both parties - the Developer and the Customer.

Darren Messenger
22
Darren Messenger  
Sergey Golubev:

Disclaimer? I do not know ...

You are coding the manual trading system/idea which was developed/elaborated by your client, right? Coding according to his idea?
In this case - he is responsible for his own losses.

-------------

You can use Freelance service for example.
This is from Freelance service rules

Execution of Orders

  1. An Order passes through the following execution steps:
    1. Work Agreement
    2. Requirements Negotiation
    3. Prototype/Model
    4. Demonstration
    5. Work Acceptance
    6. Payment
  2. At each step, the Customer and the Developer shall confirm the fulfillment of their obligations on this step.
  3. Only after the confirmation of both parties involved in the Order, they can go to the next step.
  4. Only one Developer can be selected for each Order.
  5. Upon the completion of step Requirements Negotiation, on the Customer's account, a sum of money will be locked in to cover the Order payment after the completion of step Work Acceptance.
  6. Payment for the completed Order will be made automatically from the Customer's account to the Developer's account after the Customer confirms the step of Work Acceptance.
  7. In case any disputes arise out of the Order execution, any of the parties may request arbitration to resolve the conflict.
  8. During arbitration, the basis for decision making is only the Requirements Specification.

and - 

Arbitration Order 

  1. If dispute arises between the Customer and the Developer, which cannot be solved without the involvement of a third party, any of the parties may apply to arbitration.
  2. Arbitration of disputes is based only on the Requirements Specification and system comments on the confirmation of each step.
  3. If necessary, outside experts may be involved and additional materials may be requested. The decision of such a necessity is taken by the resource Administration.
  4. The situation in arbitration is discussed and the decision is made directly in the relevant Application.
  5. The decision of the arbitration shall be final and binding both for the Customer and the Developer.
  6. The arbitration may make one of three decisions:
    1. To complete the job in favor of the Developer: 100% of the amount blocked for a job in question is deducted from the Customer's account, while 90% of this amount is transferred to the Developers account and 10% is the service commission. The job is classified as "Completed" and the feedback can only be given by the Developer.
    2. To cancel the job in favor of the Customer: 10% of the amount blocked for a job in question is deducted from the Customer's account, while the remaining 90% is released; no amount is transferred to the Developer's account and the service commission is 10%. The job is classified as "New" and becomes available to new Developers; the feedback can only be given by the Customer.
    3. To lay the blame for the situation on both parties and split the money in half: 50% of the amount blocked for a job in question is deducted from the Customer's account, with the remaining 50% being released; the Developer receives 40% of the amount specified in the Agreement and 10% is the service commission. The job is classified as "New" and becomes available to new Developers; the feedback can be given by both parties - the Developer and the Customer.

Sergey Golubev
Moderator
106099
Sergey Golubev  

Disclaimer:

Forex is a high risk market. You may lose substantial amount of money by taking the risk of live trading. I shall not be held responsible for any loss.

Darren Messenger
22
Darren Messenger  
Hi Sergey, thanks for your reply. Yes,  the trading algorithm is totally the clients idea, but I am more concerned that a glitch in the EA causes losses that are not related to the trading strategy and more to do with the code malfunctioning. Do people use disclaimers in this situation and if so where do you put it? 
Sergey Golubev
Moderator
106099
Sergey Golubev  

So, if you are coding to the client to be outside Freelance service - write simple disclaimer in EA.

But I am recommending to use Freelance service, and in this case -any "diffucult situations" will be solved according to the rules which your client signed/agreed with.

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I can not tell you more because I am not a coder sorry (other members are having more experience with it for example).

Darren Messenger
22
Darren Messenger  

Ok, thanks for the advice Sergey.

Stanislav Korotky
24553
Stanislav Korotky  
You can search Internet for something like "software as is disclaimer" and find a lot of examples of End-User Agreements, which protect developers for most cases. Every EA is a software. So you can take one of examples and attach it to your task in the freelance. This way acceptance of the task with the agreement by your customer will bound him to the terms.
Darren Messenger
22
Darren Messenger  

Good idea - thanks Stanislav.

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